On Wednesday, the Indonesia stock market saw an end to its brief two-day winning streak, where gains amounted to more than 35 points or 0.5 percent. The Jakarta Composite Index now sits slightly above the 7,740-point mark and is anticipated to open lower again on Thursday.
The forecast for Asian markets is overwhelmingly negative, as overbought regional equities are expected to experience profit-taking. Both European and U.S. markets predominantly closed in the red, and Asian markets are expected to follow suit.
On Wednesday, the JCI concluded marginally lower, with losses in the financial sector counterbalanced by gains in the cement and resource sectors.
The index fell by 37.59 points or 0.48 percent, ending the day at 7,740.90, within a trading range of 7,633.45 to 7,760.88.
Active stocks displayed mixed performances: Bank CIMB Niaga fell 3.01 percent, Bank Mandiri dropped 3.03 percent, Bank Danamon Indonesia declined 1.12 percent, Bank Negara Indonesia decreased by 3.45 percent, Bank Central Asia rose by 0.46 percent, Bank Rakyat Indonesia plummeted 3.62 percent, Bank Maybank Indonesia retreated 1.69 percent. Meanwhile, Indosat Ooredoo Hutchison gained 0.91 percent, Indocement surged 3.32 percent, Semen Indonesia increased 1.31 percent, United Tractors edged up 0.27 percent, Astra International slipped 0.95 percent, Energi Mega Persada tumbled 2.78 percent, Aneka Tambang climbed 2.13 percent, Jasa Marga dipped 0.60 percent, Vale Indonesia leaped 4.75 percent, Timah skyrocketed 5.61 percent, Bumi Resources fell 0.82 percent, while Astra Agro Lestari and Indofood Sukses Makmur remained unchanged.
Wall Street provided a muted lead as the major indices opened mixed on Wednesday but trended downward throughout the session, ending mostly in negative territory.
The Dow Jones Industrial Average slid 293.47 points or 0.70 percent to close at 41,914.75. The NASDAQ inched up 7.68 points or 0.04 percent to finish at 18,082.21, while the S&P 500 declined 10.67 points or 0.19 percent to close at 5,722.26.
The mixed results on Wall Street reflected traders' uncertainty regarding the near-term market outlook following recent gains that have driven the Dow and S&P 500 to record highs.
In economic reports, the Commerce Department disclosed a significant decrease in new home sales for August.
Upcoming economic data includes weekly jobless claims, durable goods orders, personal income, and spending. Additionally, a speech by Fed Chair Jerome Powell scheduled for later today is being closely watched.
Oil prices experienced a sharp drop on Wednesday, driven by uncertainty about demand outlook and diminishing concerns over supply disruptions in Libya. West Texas Intermediate Crude for November delivery fell $1.87 or 2.6 percent to $69.69 per barrel.
