Jakarta stocks end flat

05 Aug, 2004

Jakarta stocks finished almost flat after spending most of Wednesday in the red amid concern over the weak rupiah and high oil prices, traders said.
The Jakarta Composite Index edged up 0.13 percent to 758.30 points in thin trade worth 617.87 billion rupiah ($67.1 million).
"First of all the rupiah currency fell. A higher oil price has also added to the generally negative sentiment. That prompted profit taking," said Christine Salim, head of research at Samuel Sekuritas.
Last minute buying in selected shares helped the market close in positive territory. Among the gainers were some large banks.
PT Bank Danamon Tbk, the country's fifth-largest lender, gained 3.9 percent to 3,325 rupiah, and PT Bank Central Asia, the number two, rose 1.3 percent to 1,900 rupiah.
Concern over the possibility of higher domestic interest rates has dampened sentiment among investors after inflation hit 7.2 percent in the year to July, exceeding government's full year target of seven percent. Bank Indonesia said on Wednesday a inflation rate of more than seven percent for the full year remained a possibility.
The rupiah currency lost 0.57 percent of its value during the day and traded at 9,220/9,230 to the dollar late in the late afternoon.
Oil dominated investor sentiment all over the World as US light sweet crude touched $44.28 a barrel - the highest price since oil futures were launched on the New York Mercantile Exchange.
Looking ahead, some analysts said the Jakarta stock market would likely trade sideways until after the second round of the presidential elections on September 20.

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