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JCI strengthens by 13.02 points, following release of trade surplus data
The Indonesia Stock Exchange
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The Indonesia Stock Exchange. (idx.co.id) (idx.co.id)
The Indonesia Stock Exchange. (idx.co.id)
The Jakarta Composite Index (JCI) moved up during the opening session on Wednesday as market players welcomed a surplus shown in Indonesia's export-import data from August.
The JCI strengthened by 13.02 points, or 0.30 percent, to 4,360.18, while the LQ45 index of the 45 most liquid stocks also went up 3,33 points (0.34 percent) to 735.96.
'The positive export-import data is a good sign for Indonesia's economic condition. This news inspired market players to buy shares, though still selectively,' said Satrio Utomo, head of research at Universal Broker in Jakarta on Wednesday.
Indonesia recorded a US$433.8 million trade surplus in August, which was supported mainly by a $1.01 billion surplus in the non-oil and gas sector, the Central Statistics Agency (BPS) said on Tuesday. In the same month, the oil and gas sector, however, suffered a trade deficit of $580 million. Total exports were recorded at $12.78 billion, while total imports amounted to $12.27 billion.
According to Satrio, domestic economic data could act as a guide for investors while they were waiting on the US Federal Reserve to increase its rate or not at a meeting on Wednesday (US time).
'The main influence on sentiment will still be the result of the Federal Reserve meeting. But market players still appreciate this positive news from the Indonesian economy,' he added.
Meanwhile, Reza Priyambada, research head of NH Korindo Securities, said that the majority of global stock exchanges were moving in a positive direction and that also encouraged Indonesian investors to accumulate stocks.
Some investors also believe that the Fed will not actually increase its fund rate because the US economy is not strong enough for such a policy.
Meanwhile, the Hang Seng index strengthened 330.65 points (1.54 percent) to 21,785.00, the Nikkei increased by 208.70 points (1.16 percent) to 18,235.18 and the Straits Times index strengthened by 21.00 points (0.78 percent) to 2,864.78. (bbn)
