FX.co ★ Indonesia Shares May Reverse Monday's Losses

On Monday, the Indonesia stock market ended its three-day winning streak, during which it had gained over 230 points or 3.3 percent. The Jakarta Composite Index (JCI) now sits just below the 7,270-point mark, although a rebound is anticipated on Tuesday. The global outlook for Asian markets is cautiously optimistic, with expected strength from technology shares. European markets showed gains, while U.S. markets were mixed, suggesting a positive opening for Asian markets.

The JCI closed modestly lower on Monday, primarily due to losses in financial shares and mixed performances in cement and resource companies. Specifically, the index fell 50.55 points or 0.69 percent, ending the day at 7,266.69, after fluctuating between 7,243.01 and 7,374.55. Among the active stocks, Bank CIMB Niaga dropped 0.80 percent, Bank Mandiri plunged 3.80 percent, Bank Danamon Indonesia declined 0.37 percent, Bank Negara Indonesia fell 3.77 percent, Bank Central Asia decreased 2.82 percent, and Bank Rakyat Indonesia stumbled 2.03 percent.

Other notable movements included Indosat Ooredoo Hutchison's 3.48 percent decline, Indocement's 0.36 percent rise, and Semen Indonesia's 1.72 percent drop. Meanwhile, Indofood Sukses Makmur climbed 1.22 percent, United Tractors surged 2.47 percent, Astra International retreated 1.25 percent, Energi Mega Persada rose 2.07 percent, and Astra Agro Lestari strengthened 1.64 percent. Additionally, Aneka Tambang rallied 2.16 percent, Vale Indonesia skyrocketed 7.52 percent, Timah lost 0.51 percent, and Bumi Resources spiked 2.17 percent. Perusahaan Perseroan and Jasa Marga remained unchanged.

Wall Street's lead was inconsistent on Monday as the major averages opened and closed mixed. The Dow Jones Industrial Average fell 196.82 points or 0.49 percent to finish at 39,806.77. In contrast, the NASDAQ rose 108.91 points or 0.65 percent to close at a record high of 16,794.88, and the S&P 500 gained 4.86 points or 0.09 percent to end at 5,308.13.

The NASDAQ's advance was driven by strength in the tech sector, particularly semiconductor stocks, as evidenced by the Philadelphia Semiconductor Index's 2.2 percent jump to a two-month closing high. Gold stocks also experienced notable strength, driven by a new record high in gold prices, while banking and telecom stocks moved downward. The Dow experienced a pullback due to profit-taking after closing above 40,000 points for the first time on Friday.

Oil prices settled lower on Monday, influenced by concerns that the Federal Reserve may maintain higher interest rates for an extended period. West Texas Intermediate Crude oil futures dropped to around $79.80, down $0.26 from the previous close.