(RTTNews) – The Indonesia stock market on Tuesday ended the four-day losing streak in which it had dropped more than 370 points or 5 percent. The Jakarta Composite Index now sits just shy of the 6,870-point plateau and it’s expected to see continued strength on Wednesday.
The global forecast for the Asian markets is upbeat following news of a ceasefire between Israel and Iran. The European and U.S. markets were up and the Asian bourses figure to follow that lead.
The JCI finished sharply higher on Tuesday following gains from the financial shares, resource stocks and cement companies.
For the day, the index rallied 82.03 points or 1.21 percent to finish at 6,869.17 after trading between 6,853.07 and 6,924.97.
Among the actives, Bank CIMB Niaga strengthened 1.21 percent, while Bank Mandiri spiked 2.13 percent, Bank Danamon Indonesia collected 0.83 percent, Bank Negara Indonesia jumped 1.97 percent, Bank Central Asia improved 1.74 percent, Bank Rakyat Indonesia climbed 1.61 percent, Indosat Ooredoo Hutchison advanced 1.98 percent, Semen Indonesia rallied 2.77 percent, United Tractors increased 1.32 percent, Astra International added 0.90 percent, Energi Mega Persada plummeted 9.33 percent, Astra Agro Lestari gained 1.75 percent, Aneka Tambang stumbled 3.13 percent, Vale Indonesia soared 2.26 percent, Timah rose 0.50 percent, Bumi Resources sank 0.85 percent and Indocement and Indofood Sukses Makmur were unchanged.
The lead from Wall Street is positive as the major averages opened solidly higher and remained in the green throughout the trading day, ending near session highs.
The Dow jumped 507.24 points or 1.19 percent to finish at 43,089.02, while the NASDAQ rallied 281.56 points or 1.43 percent to close at 19,912.53 and the S&P 500 improved 67.01 points or 1.11 percent to end at 6,092.18.
The continued strength on Wall Street came after news that a ceasefire between Israel and Iran is now in effect. While both sides have accused each other of violating the ceasefire, traders appeared to remain optimistic about easing tensions in the Middle East.
Meanwhile, traders largely shrugged off comments from Federal Reserve Chair Jerome Powell indicating the central bank will remain on hold despite pressure from Trump to lower interest rates.
On the U.S. economic front, the Conference Board released a report showing an unexpected deterioration by consumer confidence in the month of June.
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