The Indonesian stock market has continued its downward trend for five consecutive sessions, losing almost 190 points or 2.5%. The Jakarta Composite Index is currently positioned slightly above the 7,600 mark, with potential for stabilization on Wednesday.
The global market outlook for Asia remains uncertain, albeit with a possibility of tech stocks providing some support. European markets experienced declines, while U.S. markets displayed mixed results, suggesting that Asian markets may display a mixed response.
On Tuesday, the Jakarta Composite Index incurred a slight decline, driven by losses in the cement and finance sectors. Conversely, food stocks showed gains and resource companies displayed mixed performance. By the close of the session, the index decreased by 28.03 points, or 0.37%, to settle at 7,606.60, trading within a range of 7,587.21 to 7,666.43.
Key movers included Bank CIMB Niaga, which fell 1.33%, and Bank Danamon Indonesia dropping 1.15%. Bank Negara Indonesia saw a decline of 3.64%, while Bank Central Asia and Bank Rakyat Indonesia fell by 0.94% and 1.26%, respectively. In contrast, Indosat Ooredoo Hutchison surged 5.94%, while Indofood Sukses Makmur increased 0.66%. Companies like Indocement, United Tractors, Astra International, and others experienced varying degrees of change, with some gaining and others losing ground.
On Wall Street, the situation remained ambiguous with major indices opening weaker and closing in mixed territory. The Dow Jones Industrial Average fell by 154.52 points, or 0.36%, settling at 42,233.05. Meanwhile, the NASDAQ surged by 145.56 points, or 0.78%, closing at a new high of 18,712.75. The S&P 500 rose by 9.40 points, or 0.16%, to finish at 5,832.92.
The ascent of the NASDAQ was largely driven by anticipation of earnings reports from major tech corporations such as Alphabet (Google's parent company), Advanced Micro Devices, Meta Platforms, Microsoft, Amazon, and Apple. Semiconductor stocks made notable gains, with the Philadelphia Semiconductor Index increasing by 2.3%.
In economic updates, the U.S. Conference Board reported a notable increase in consumer confidence for October. Additionally, the U.S. Labor Department revealed a decline in job openings, down to 7.44 million in September from a revised figure of 7.86 million in August.
On the commodities front, oil futures experienced another decline on Tuesday amid worries about a surplus in crude oil supply relative to short-term demand. West Texas Intermediate Crude oil futures for December decreased by $0.17, or approximately 0.25%, to $67.21 per barrel.
