Indonesian share prices closed 0.43 percent lower on Wednesday as sentiment was hit by concerns this week's tsunami on Java may add to inflation pressures, dealers said. The Jakarta Stock Exchange composite index was down 5.554 points at 1,280.496 on volume of 717.691 million shares worth 813.501 billion rupiah (88 million dollars).
The rupiah was at 9,245/9,255 to the dollar against Tuesday's 9,235/9,245. Satrio Utomo, an analyst with Recapital Securities, said the market was up in the morning but reversed direction in the second session in the absence of strong news to sustain the gains.
He said the market appeared to be concerned about the impact on the economy, particularly on inflation, of the tsunami that hit the southern part of Java island this week.
"Investors were not that eager to enter the market after learning that the economic impact of the tsunami could be worse than initially expected," he said. The government said the tsunami killed at least 525 people. Telkom was down 50 rupiah at 7,150 while Indosat was up 25 at 4,275. Bakrie Brothers was up five rupiah at 175 and Bumi Resources was down 20 at 780. Inco was down 650 at 19,450.