JCI Rises by 8.91 Points on Wednesday Morning
25 February 2015 16:18 WIB
TEMPO.CO, Jakarta - The Jakarta Composite Index (JCI) at the Indonesian Stock Exchange (IDX) rose by 8.91 points on Wednesday morning, driven by positive sentiments from Europe and the United States (US).
The JCI went up by 8.91 points or 0.16 points to commence trading at 5,426.22 points, while the Top 45 (LQ45) similarly inched upwards by 2.25 points or 0.24 percent to open at 946.71 points.
"Positive external factors are acting as a catalyst for the JCI to continue its rally in today's trading session," said the head of research at Valbury Asia Securities, Alfiansyah, in Jakarta on Wednesday.
Alfiansyah said that the testimony of the Fed's governor, Janet Yellen, indicated that it had not planned to increase its interest rate as of now, as there are still doubts about the future prospect on the US' economic recovery.
"Worries over the state of its labor market, as well as the country's failure to reach its inflation target still linger and affect its economic outlook," he said.
From Europe, continued Alfiansyah, Greece finally submitted its fiscal reform plans to Eurozone's finance ministers, which is a part of the conditions to ensure the continued flow of bailout funds into the country.
"Eurozone's finance ministers have announced that they have received and agreed on Greece's planned reforms, and as such has agreed to extend the bailout program for four months," said Alfiansyah.
The developments have boosted the movement of the majority of European bourses, as well as the US share market, which closed in the green at yesterday's close.
An analyst for Samuel Sekuritas, Tiesha Narandha Putri, said that the JCI was on an uptrend, as Indonesia's 2014 financial performance figures were expected to be positive, especially since Indonesia's production levels in the fourth quarter of 2014 were predicted to exceed the market's expectations.
"We advise investors to be on the lookout for blue-chip shares, although some investors might choose to engage in profit-taking, which could slightly reverse the uptrend," said Tiesha.
Meanwhile, across Asia, the Hang Seng Index slipped by 12.44 points or 0.05 percent to open at 24,737.63 points, the Nikkei went up by 20.40 points or 0.11 percent to commence trading at 18,623.88 points, and similarly the Straits Times Index climbed by 7.46 points or 0.22 percent to open at 3,445.40 points.
ANTARA