FX.co ★ Indonesia Bourse May Extend Tuesday's Gains

On Tuesday, the Indonesia stock market rebounded from a two-day downturn, during which it lost over 90 points, or 1.2%. The Jakarta Composite Index is currently hovering slightly above the 7,110-point mark, and it's predicted to continue its positive trend into Wednesday.

In the global forecast, Asian markets are anticipated to experience an uplift amid optimism surrounding the earnings season. With both European and U.S. markets ending high, Asian exchanges are likely to follow suit.

On Tuesday, Indonesia's Composite Index (JCI) experienced a moderate rise, primarily due to strong performance in the financial sector and a mixed bag within resource companies. However, the formidable performance by Bumi Resources significantly propelled the market into positive territory.

The index gained 36.99 points or 0.52 percent, ending at 7,110.81, with activity occurring between 7,099.84 and 7,165.95.

Significant movements among active stocks included a 1.87 percent increase for Bank CIMB Niaga, a 1.49 percent rise for Bank Mandiri, while Bank Danamon Indonesia appreciated by 0.36 percent. Conversely, Bank Negara Indonesia plummeted by 1.87 percent. Other significant changes came from Indosat Ooredoo Hutchison which surged by 5.83 percent, and Bumi Resources, which soared an impressive 21.18 percent. Bank Rakyat Indonesia, however, remained static.

Taking cues from Wall Street, overall attitudes are buoyant, as major averages opened higher on Tuesday and stayed comfortably positive throughout the trading day. The Dow summited 263.71 points or 0.69 percent, finishing at 38,503.69. Simultaneously, the NASDAQ climbed 245.33 points or 1.59 percent, settling at 15,696.64, while the S&P 500 ascended 59.95 points or 1.20 percent, closing at 5,070.55.

Quarterly earnings have directed market trends, with Globe Life, GE Aerospace, Kimberly-Clark and General Motors all profiting from strong results.

In other news, the Commerce Department announced that March saw a greater-than-expected boost in new home sales, though building permits did retract. This week, traders eagerly await further economic updates, including first quarter U.S. GDP data and the core personal-consumption expenditures (PCE) price index, the Federal Reserve's preferred inflation gauge.

Finally, oil prices saw an increase on Tuesday following data indicating a slow-down in U.S manufacturing activity in April. This injected hope into the markets that the Federal Reserve might soon initiate interest rate cuts. As a result, West Texas Intermediate crude oil futures for June increased by $1.46 or 1.78%, settling at $83.36 a barrel.