Indonesian share prices closed 0.74 percent higher on Tuesday in line with a rebound in regional markets after Monday's fall on the back of North Korea's nuclear test, dealers said. Gains in key banking stocks helped lift the main index to a new all-time high, they said.
The Jakarta Stock Exchange composite index closed up 11.493 points at a record 1,554.917, on volume of 1.17 billion shares valued at 2.03 trillion rupiah (220.05 million dollars).
The previous closing high was 1,553.062, achieved on May 11 this year. Gainers led decliners 86 to 32, with 69 stocks unchanged. The rupiah was trading at 9,220/9,225 to the dollar, compared to 9,225/9,230 late Monday. The market's concern over the North Korea nuclear test seems to have been reflected in Monday's fall, dealers said.
"The impact of North Korea's nuclear test appears to have had limited impact as we saw regional markets, and our own rebound today (Tuesday)," Dongsuh Kolibindo analyst Ryan Ariadi Suwarno said.
He noted that interest was largely focused on interest rate-sensitive sectors such as properties, banks and automobile, as investors expect the downtrend in domestic rates to continue for the balance of this year.
Among major stocks, Bank Central Asia rose 25 rupiah to 4,675, Bank Mandiri rose 50 to 2,500, Bank Rakyat Indonesia rose 100 to 4,950 and Bank Danamon gained 100 to 5,550.
Astra International was up 300 at 13,300, Indofood was up 80 at 1,320 and Medco was up 125 at 3,550. In the property sector, Ciputra Surya gained 80, Ciputra Development rose 30 to 660 and Jakarta International Hotel gained 50 to 680. Telkom however fell 100 to 8,300, while rival Indosat gained 100 to 5,150.