FX.co ★ Indonesia Bourse May Halt Its Slide On Friday

The Indonesian stock market has experienced a downward trend over three consecutive sessions, losing over 180 points or 2.6% during this period. As a result, the Jakarta Composite Index (JCI) is now positioned slightly above the 7,070-point mark and is anticipated to find support on Friday.

The global outlook for Asian markets appears optimistic, bolstered by potential gains in oil, gold, and technology stocks. Following a positive performance in European and U.S. markets on Thursday, it's expected that Asian markets will follow suit.

On Thursday, the JCI saw a notable decline, impacted by downturns in the financial, telecommunications, cement, and resource sectors. The index dropped by 92.58 points or 1.29%, closing at 7,073.48 after fluctuating between 7,042.69 and 7,150.29 during the day.

Within the active stocks, several financial institutions like Bank CIMB Niaga fell by 0.58%, Bank Mandiri by 0.41%, Bank Danamon Indonesia by 0.78%, and Bank Central Asia by 2.14%. Other declines included Indosat Ooredoo Hutchison at 1.72%, Indocement at 2.89%, Semen Indonesia at 3.40%, United Tractors at 2.49%, Astra International at 1.85%, Energi Mega Persada at 3.67%, Aneka Tambang at 6.38%, and Vale Indonesia at 5.30%, among others. On the brighter side, Indofood Sukses Makmur managed to advance by 0.99%.

In contrast, Wall Street provided a positive lead with major indices opening higher on Thursday. Although they briefly dipped into negative territory, they all concluded above previous closing levels. The Dow Jones Industrial Average rose by 168.61 points or 0.38% finishing at 44,882.13. Meanwhile, the NASDAQ increased by 49.43 points or 0.25% to close at 19,681.75, and the S&P 500 climbed by 31.86 points or 0.53% to end at 6,071.17.

Despite a late-session dip following President Trump's announcement to enforce a 25% tariff on imports from Canada and Mexico from February 1, the markets rebounded before close. This volatility was largely driven by earnings reports, with companies such as IBM and Meta Platforms surpassing expectations, whereas Microsoft and UPS delivered disappointing guidance despite decent earnings.

Oil futures saw a slight increase on Thursday amid speculations of reduced supplies due to potential tariffs on Canadian and Mexican goods, coupled with support from a weaker dollar. West Texas Intermediate crude oil futures for March went up by $0.11 or 0.15%, settling at $72.73 a barrel.