The Indonesian stock market has experienced declines in two out of the last three trading sessions following the conclusion of a three-day winning streak that saw a rise of nearly 130 points or 1.8%. Currently, the Jakarta Composite Index (JCI) hovers slightly above the 7,080 mark, with expectations of remaining in this vicinity on Thursday.
The global forecast for Asian markets appears uncertain, mainly influenced by mixed signals concerning interest rate projections. Both European and U.S. markets showed minimal changes and mixed results, a trend anticipated to extend to the Asian markets.
On Wednesday, the JCI marginally decreased, attributed to losses in the resource and cement sectors, coupled with varied performance in the financial sector. Specifically, the index slipped 2.93 points, or 0.04%, concluding at 7,080.35, after fluctuating between 7,046.17 and 7,129.29.
In terms of individual performers, Bank CIMB Niaga fell by 0.86%, whereas Bank Mandiri surged 2.68%. Conversely, Bank Danamon Indonesia dropped 1.17%, while Bank Negara Indonesia saw a modest increase of 0.23%. Bank Central Asia appreciated by 1.57%, and Bank Rakyat Indonesia saw a gain of 1.24%. Among others, Indocement saw a significant decline of 3.33%, Semen Indonesia dropped 4.09%, and United Tractors decreased by 2.61%. Various stocks such as Indofood Sukses Makmur increased by 0.34%, while Energi Mega Persada, Astra Agro Lestari, and Aneka Tambang experienced declines, shedding 1.68%, 0.82%, and 0.35%, respectively. Jasa Marga fell 1.79%, Vale Indonesia decreased 1.44%, and Bumi Resources suffered a steep 4.17% drop. Meanwhile, Bank Maybank Indonesia and Indosat Ooredoo Hutchison remained unchanged.
In the U.S. markets, Wednesday saw negligible movement. Major averages started the day slightly lower, fluctuated throughout, and ultimately ended with negligible change. Such volatility stemmed from uncertainty regarding interest rates due to mixed U.S. employment data.
ADP's report highlighted a more considerable-than-anticipated slowdown in private sector job growth for December, while the Labor Department revealed a surprising dip in weekly jobless claims, marking the lowest level seen in nearly 11 months.
Although the Federal Reserve released minutes from its latest monetary policy meeting, they offered little clarity on interest rate futures beyond an indication of a planned "careful approach" to upcoming decisions.
On the commodities front, oil futures closed on a weaker note Wednesday, influenced by a considerable rise in gasoline inventories and a stronger dollar. As a result, West Texas Intermediate Crude oil futures for February finished down $0.93, or 1.25%, settling at $73.32 per barrel.
