Jakarta stocks surge

Indonesian share prices closed 0.38 percent higher on Friday with the key index finishing at a new all-time high buoyed by expectations of a further rate cut, dealers said. They said Wall Street's recent record-breaking runs and a firmer rupiah also added to the market's positive tone.
However, profit taking in miners and select big-caps in late trade capped the index's rise, dealers noted. The Jakarta Stock Exchange composite index closed up 7.724 points at 2,033.368, off an all-time intraday high of 2,042.468 and a low of 2,024.537. Volume was at 6.79 billion shares valued at 4.78 trillion rupiah (532,59 million dollars). Decliners led gainers 80 to 109, with 46 stocks unchanged.
For the week, the main index gained 13.69 points or 1 percent. The rupiah strengthened to 8,970/8,975 to the dollar from 9,042/9,047 late Thursday. Mega Capital analyst Felix Sindhunata said the market's rise was driven by Wall Street's overnight rally, a firmer rupiah and expectations that Bank Indonesia may cut its benchmark BI rate at its board meeting next Tuesday.
"The market, however, came off a bit in late trade as some investors opted to cash in gains ahead of the weekend and the release of US unemployment data later today," Sindhunata said.
Last month, BI kept its key rate unchanged at 9.00 percent, in a move that surprised the market. Astra International led gainers on a report that domestic car sales in April jumped 55 percent year-on-year after weak first quarter results. Astra International surged 600 rupiah or 3.97 percent to 15,700, and Perusahaan Gas Negara added 350 or 3.4 percent to 10,650.
Indofood was up 20 rupiah or 1.2 percent at 1,680, Bumi Resources was up 10 at 1,480 and Indosat rose 50 to 6,700. Banking stocks were mixed, with Bank Rakyat Indonesia gaining 100 rupiah, or 1.90 percent, to 5,350 and Bank Central Asia advancing 100, or 1.89 percent, to 5,400, while Bank Mandiri lost 100, or 3.15 percent, to 3,075. Among other losers, Telkom fell 50 rupiah to 10,300, Aneka Tambang dropped 50 to 16,150, Bukit Asam gave up 100 to 4,300 and Inco lost 550 to 62,850.
Trimegah Securities rose 15 rupiah, or 7.69 percent, to 210 on news that British Virgin Island-based Spinnaker Funds has offered to purchase a 25 percent stake in the company at 215 rupiah per share.