Long Holiday, Investors Cashing In
31 July 2014 14:36 WIB
TEMPO.CO, Jakarta – The end of the election process and anticipation over the long Eid holiday motivated investors to cash in on their profits. On the last trading day before the holiday started, the Jakarta Composite Index (JCI) was corrected by 9.84 points (0.19 percent), closing at 5,088.802. As many as 7.9 billion shares worth Rp 6.3 trillion traded, with foreign net buy totaling at Rp161 billion.
Investa Saran Mandiri analyst Kiswoyo Adi Joe said that after the long rally since the legislative elections to the presidential election, the market is now taking profits ahead of the Idul Fitri holiday.
"Confidence over the final election results prompted investors to realize their profits, especially on stocks that have risen significantly during the presidential election," said Kiswoyo.
Kiswoyo projected that by August's first trading day next Monday, the JCI will move in the range of 5,000-5,125. If the 5,000-point mark is broken, the index could sink to 4,800-4,900. Transaction activity is expected to slow while foreign net buys is projected to decline.
PDAT | M. AZHAR