The Jakarta Composite Index (JCI) continued its downward trend in Wednesdayâs first trading session, following the movements of major stock markets in Asia
he Jakarta Composite Index (JCI) continued its downward trend in Wednesday's first trading session, following the movements of major stock markets in Asia.
The JCI weakened by 44.64 points or 1.01 percent to 4,367.81 while the index of the 45 most liquid stocks (LQ45) was down by 11.43 points (1.53 percent) to 737.54.
'The JCI experienced corrections along with the global stock market. It is estimated that the index will move within a range of 4,300 to 4,470 points on Wednesday,' Mandiri Sekuritas analyst Hadiyansyah said as quoted by Antara in Jakarta on Wednesday.
'The market is bearish now. However, the current position is really attractive for conservative and long term investors to start accumulating and adding to their equity,' said Hadiyansyah.
Based on several technical indicators, the analyst said, the JCI had been at a very low level. Currently, the level of the index was similar to what it was when a decline occurred in the middle of 2013. Some stocks in the market even approached their lowest levels since 2008.
Meanwhile, Valbury Asia Securities head of research Alfiansyah said China, Europe and US manufacture activity data, which showed declines in August, had triggered worries about global economic health.
'External negative sentiments, which are quite strong, will shadow JCI movements so it will be difficult to move positively in today's trading sessions,' he said.
In regional markets, the Hang Seng Index weakened by 189.74 points (0.90 percent) to the level of 20,995.69, the Nikkei Index was up by 85.35 points (0.74 percent) to 18,251.04 and the Straits Times Index strengthened by 8.12 points (0.28 percent) to 2,890.56. (ebf)(++++)
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