The Jakarta Composite Index (JCI) fell further during the Monday morning session, with banking shares among the biggest losers
The Jakarta Composite Index (JCI) fell further during the Monday morning session, with banking shares among the biggest losers.
The JCI, the Indonesia Stock Exchange benchmark, plunged by 2.63 percent to 5,094.26 by midday from 5,194.93 in the opening session.
Bank Rakyat Indonesia (BRI), Bank Mandiri, Bank Central Asia (BCA) and Bank Negara Indonesia (BNI) - all among the country's largest banks - saw their shares drop by 5.64 percent, 4.84 percent, 3.07 percent and 2.43 percent, respectively.
State-owned telecommunications company Telkom and diversified conglomerate Astra Internasional, meanwhile, saw their share price fall by 5.56 percent and 1.95 percent, respectively.
Reliance Securities associate analyst Aji Setiawan predicted that the JCI would continue to drop today due to mixed signals from global markets following the victory of Republican Party candidate Donald Trump, who campaigned for protectionist economic policies in the recent US presidential election.
"Investors are still responding to the new US president," he said on Monday.
Trimegah Securities analyst Angga Aditya Assaf, meanwhile, said markets would remain volatile as investors brace for Donald Trump's upcoming fiscal and trade policies.
"Both domestic and global investors are likely to conduct hedging trades right now to preserve capital gains and try to sell JCI stocks," he told The Jakarta Post.
On Friday, the JCI ended in the red after falling 4 percent to 5,231.97 points, its lowest level in the past two months.
Almost all sectors ended in negative territory, as investors sold a net of Rp 2.46 trillion (US$184.27 million) worth of securities throughout the trading day. (hwa)
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