Please Update your browser

Your browser is out of date, and may not be compatible with our website. A list of the most popular web browsers can be found below.
Just click on the icons to get to the download page.

Jakarta Post
The Jakarta Post
Video Weather icon 30°C
DKI Jakarta, Indonesia
weather-icon
30°C Partly Cloudy

Dry and mostly cloudy throughout the day.

  • weather-icon

    Wed

    26℃ - 32℃

  • weather-icon

    Thu

    25℃ - 32℃

  • weather-icon

    Fri

    25℃ - 31℃

  • weather-icon

    Sat

    26℃ - 30℃

Stocks show weakness on Friday after steep drop in morning trade

  • Anton Hermansyah
    Anton Hermansyah

    The Jakarta Post

Jakarta | Sun, March 25, 2018 | 04:16 pm
Stocks show weakness on Friday after steep drop in morning trade The trading floor of the Indonesia Stock Exchange (IDX) (JP/Wienda Parwitasari)

The Jakarta Composite Index (IDX) bounced back on Friday afternoon after a 2 percent drop in the morning session, but it still closed 0.69 percent lower at 6,210.69 points.

Friday was the first trading day after Bank Indonesia (BI) decided to keep its reference rate -- the 7-days repo rate -- at the level of 4.25 percent, despite the United States Federal Reserve increasing its interest rate benchmark, the federal funds rate, by 25 basis points.

Opening at 6,138.11, the index kept dropping and reached a low point of 6,085.21 within one hour, before ending the morning session down 1.73 percent at 6,146.19 points.

The index remained close to that level most of the afternoon, before recovering some lost ground in the last hour of trading.

BNI Sekuritas technical analysis head Andri Zakarias Siregar said most of the shock had been caused by foreign investors cashing out.

Domestic investors, meanwhile, seized the opportunity to buy, which helped shares bounce back.

"Big local fund managers started to buy stocks. They had anticipated this foreign investors’ profit-taking event and conducted buying transactions," he said. (bbn)

Join the discussions