TEMPO.CO, Jakarta - The announcement of the latest economic data managed to push up the domestic stock market. Earlier this week, the Jakarta Composite Index (JCI) won 41 points (0.8 percent) to close at 5,177 bps.
The Central Statistics Agency (BPS) reported that July's trade balance noted a surplus of US$123.7 million. This was something unexpected as investors had predicted inflation. August's inflation rate was also recorded at the lowest level for the last nine years, which is 0.47 percent.
The positive data boosted investors' optimism on the prospects of the Indonesian capital market's performance. As a result, shares prices on the Indonesia Stock Exchange (IDX) climbed, with consumption and banking stocks such as ICBF, INDF, and BBCA posting the highest gains.
"The significant corrections over the past few weeks triggered a technical rebound," said Nizar Hilmy, an analyst with Universal Broker Indonesia,
The positive effects of economic releases are expected to continue to affect JCI's movement today. There is a chance that the index would between 5,150-5,200 bps before closing higher than yesterday's trade. Investors are advised to consider buying stocks from the consumption and mining sectors.
PDAT | MEGEL JEKSON