Jakarta shares likely to be stagnant

Indonesian shares are likely to be stagnant due to negative market sentiment over the sluggish world economy, dealers said. "There is no significant good news in Indonesia, and outside Indonesia the news is of weak economic activity, rising unemployment, and how big financial banks in the US and Europe are suffering losses.
Stagnation is the best we can expect," Suherman Santikno from Batavia Prosperindo told AFP. "Export-driven companies will be hard-hit but not the telecommunications and consumer sectors, since their business cycles are not volatile. People still need to eat," Santikno said.
Support would be at 1,250 with resistance at 1,350, he said. In the week to February 20, the Jakarta Composite Index dropped 41.8 points or 3.1 percent to 1,296.94. The rupiah ended at 12,100 to the dollar compared to 11,850 the week before.