Indonesian share prices closed sharply higher on Thursday, extending gains in heavy trade with a jump of 1.99 percent amid hopes that lower oil prices will help ease pressure on the rupiah, dealers said.
The Jakarta Stock Exchange composite index closed up 21.070 points at 1,080.450 on volume of 1.98 billion shares worth 1.84 trillion rupiah (177.86 million dollars.)
Gainers led losers 113 to 29, while 47 stocks were unchanged.
The rupiah was at 10,350/10,360 to the dollar, little changed from Wednesday's level of 10,360/10,370.
"It is quite encouraging to see that oil prices have been stabilising. That's important because our focus is still on the rupiah," said Felix Sindunata, an analyst with Pacific Duaribu Investindo. The spike in oil prices is believed to be the key factor that drove the rupiah to a fresh four-year low of 11,800 per dollar last week as it pushed dollar demand for oil imports higher.
Index heavyweight Telkom closed up 250 rupiah at 5,450 and Indosat was up 150 at 5,450 rupiah. Gudang Garam rose 50 at 11,000 rupiah, Unilever was up 75 at 4,125, Astra International rose 400 at 10,400 and United Tractors closed 225 higher at 4,050.
Interest rate-sensitive banking stocks were mostly lower.
Bank Mandiri was down 10 rupiah at 1,350, Bank Danamon lost was down 50 rupiah at 4,300 rupiah and Bank Rakyat Indonesia fell 50 at 2,725 but Bank Central Asia was up 25 at 3,475.