The Indonesian stock market has experienced gains over the past two trading sessions, rising by over 120 points or 1.7 percent. The Jakarta Composite Index (JCI) is now positioned just below the 7,440 mark. However, it risks losing momentum as we approach Tuesday.
Globally, the forecast for Asian markets leans towards caution, largely influenced by underperformance in technology stocks and the anticipated release of key U.S. inflation data later this week. European markets showed mixed results, while U.S. markets ended in decline, suggesting Asian counterparts may experience a mixed outcome.
On Monday, the JCI closed at a moderate increase, driven by advances in financial and cement shares despite some losses in the resource sector. The index gained 54.95 points or 0.74 percent, closing at 7,437.73, having fluctuated between 7,380.66 and 7,440.98 throughout the day.
Key performers included Bank CIMB Niaga, up 2.25 percent, and Bank Mandiri, gaining 2.41 percent. Both Bank Danamon Indonesia and Bank Central Asia increased by 2.73 percent. Bank Negara Indonesia saw a rise of 2.88 percent, and Bank Rakyat Indonesia improved by 1.86 percent. Other financial entities included Bank Maybank Indonesia, which edged up by 0.92 percent. In contrast, Indosat Ooredoo Hutchison decreased slightly by 0.80 percent. Indocement advanced by 1.09 percent and Semen Indonesia by 0.91 percent, while Indofood Sukses Makmur surged by 3.47 percent. United Tractors noted a 1.97 percent increase, Astra International strengthened by 1.46 percent, Energi Mega Persada climbed 1.67 percent, and Aneka Tambang rose 0.34 percent. However, Jasa Marga fell by 1.31 percent, Vale Indonesia decreased by 0.55 percent, Timah declined by 0.43 percent, and Bumi Resources saw a spike by 2.90 percent.
Turning to Wall Street, the outlook was unfavorable as major indices, which started the day on mixed notes, quickly turned negative and remained in decline. The Dow Jones dropped 240.59 points or 0.54 percent, closing at 44,401.93. The NASDAQ fell by 123.08 points or 0.62 percent to 19,736.69, and the S&P 500 decreased by 37.42 points or 0.61 percent to 6,052.85.
Market sentiment was dampened by a decline in Nvidia's shares; the AI leader fell by 2.6 percent amid reports of a Chinese antitrust investigation into the company.
Interest in U.S. markets was also tempered by anticipation of critical inflation data to be released later this week. Although it is widely anticipated that the Federal Reserve will reduce interest rates by an additional 25 basis points next week, uncertainty lingers regarding future rate cuts going into the next year.
In the oil markets, prices rose due to geopolitical tensions and optimism that the Chinese central bank might adopt more accommodative monetary policies to stimulate economic growth. West Texas Intermediate Crude oil futures for January delivery rose by $1.17, or 1.74 percent, closing at $68.37 a barrel.
Domestically, Indonesia is due to release October's retail sales data today; September saw a 4.8 percent year-over-year increase in sales.
