JCI Weakens Alongside Asian Exchanges as Middle East Tension Escalates
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16 April 2024 20:57 WIB
TEMPO.CO, Jakarta - The Jakarta Composite Index (JCI) weakened along with other bourses in the Asian region on Tuesday evening, April 16, as gold and oil prices rose in international markets amid rising geopolitical tensions in the Middle East.
The JCI closed down 1.68 percent at 7,164.81 while the group of 45 leading stocks or the LQ45 index fell 2.95 percent to close at 935.34.
"Asian bourses weakened on the back of rising geopolitical threats in the Middle East, which boosted global oil and gold prices," the research team at Pilarmas Investindo Sekuritas said in its review today.
Meanwhile, U.S. monthly retail sales rose 0.7 percent (m/m) in March, down from 0.9 percent (m/m) in February, but higher than the market's previous estimate of just 0.3 percent (m/m).
These two factors may well lead to global inflation, and a cut in US interest rates - originally expected in June - may be pushed back to September, given the risks mentioned above.
On the other hand, China's GDP rebounded in Q1 with 5.3% y/y growth, beating the market's forecast of 5% y/y and boosting market confidence in the country after a real estate crisis.
At the IDX, the sectoral index IDX-IC saw commodity stocks rise by 2.39 percent, followed by the energy sector with an increase of 2.33 percent. Meanwhile, nine sectors were corrected, with the consumer discretionary sector suffering the largest decline of 3.30 percent, followed by the real estate and technology sectors with corrections of 3.25 percent and 2.84 percent, respectively.
Stocks that gained the most were MHKI, ATLA, SBMA, SSIA, and PSAB. Meanwhile, today's top losers were PTPS, ARTO, BUKA, CTRA, and GJTL.
In Asia, the Hang Seng lost 2.12 percent to 16,248.96, the Shanghai Index fell 1.65 percent to 3,007.07 and the Strait Times Index dropped 1.22 percent to 3,144.76. Japan's Nikkei index is closed for a national holiday.
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