(RTTNews) - The Indonesia stock market has moved lower in three straight sessions, slumping more than 90 points or 1.2 percent in that span. The Jakarta Composite Index now rests just above the 7,540-point plateau although it may stop the bleeding on Thursday.
The global forecast for the Asian markets is cautiously optimistic on hopes for an end to the conflict in the Middle East. The European markets were down and the U.S. bourse were up and the Asian markets figure to follow the latter lead.
The JCI finished modestly lower on Wednesday following mixed performances from the finance and resource companies, while the cement stocks offered support. For the day, the index shed 17.77 points or 0.24 percent to finish at 7,541.61 after trading between 7,513.94 and 7,578.05. Among the actives, Bank CIMB Niaga collected 0.80 percent, while Bank Mandiri climbed 1.06 percent, Bank Danamon Indonesia skyrocketed 25 percent, Bank Negara Indonesia spiked 2.68 percent, Bank Central Asia sank 0.77 percent, Bank Rakyat Indonesia dropped 0.92 percent, Indosat Ooredoo Hutchison tumbled 1.73 percent, Indocement vaulted 1.36 percent, Semen Indonesia rose 0.42 percent, Indofood Sukses Makmur added 0.36 percent, United Tractors jumped 1.64 percent, Astra International soared 4.35 percent, Energi Mega Persada rallied 3.00 percent, Astra Agro Lestari skidded 1.19 percent, Aneka Tambang expanded 1.74 percent, Vale Indonesia lost 0.72 percent, Timah eased 0.26 percent and Bumi Resources was unchanged.
The lead from Wall Street is solid as the major averages opened higher on Wednesday and remained comfortably in the green throughout the trading day.
The Dow jumped 340.65 points or 0.69 percent to finish at 49,490.03, while the NASDAQ rallied 397.60 points or 1.64 percent to end at a record 23,001.78 and the S&P 500 climbed 73.89 points or 1.05 percent to close at 7,137.90, also a record.
The rebound on Wall Street came in reaction to news that President Donald Trump has extended the U.S. ceasefire with Iran, although it will continue to blockade all maritime traffic entering and exiting Iranian ports.
Iran dismissed Trump's ceasefire extension as meaningless and said the Strait of Hormuz will remain closed until the U.S. blockade is lifted.
Crude oil prices soared Wednesday thanks to supply disruption concerns due to the ongoing blockade of the Strait of Hormuz. West Texas Intermediate crude for June delivery was up $3.54 or 3.95 percent at $93.21 per barrel.
Traders also continue to express optimism about the strength of corporate results, with earnings season off to a solid start.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
