Indonesian share prices closed 0.1 percent higher Tuesday, with select coal miners and majors posting gains on foreign buying, helping the index to a sixth straight day of gains, dealers said. The Jakarta Composite Index closed up 2.62 points at 2,704.25, off a low of 2,685.29 and a high of 2,725.11.
Volume was 5.31 billion shares worth 7.38 trillion rupiah (804.42 million dollars). Decliners led advancers 95 to 90, while 56 stocks were unchanged. The rupiah was trading at 9,215/9,225 to the dollar, little changed from 9,212/9,217 late Monday.
Coal miners rallied on hopes that coal prices will remain high in the near term given supply constraints, dealers said. Recent floods in Australia have cut that country's coal exports, while demand from China and India are expected to continue to rise.
"The fantastic rise in the coal price is really good news for most coal producers here. We're still seeing upside potential for (mining companies) Bumi Resources and Indo Tambang," said Christian Wikarsa, an analyst at Ciptadana Securities. He said a handful of companies such as Bukit Asam may not reap as large benefits as the others because most of their sales were in the domestic market.
Heavy equipment distributor United Tractors, which has also entered the coal business, should likewise benefit from strong coal and crude palm oil (CPO) prices, he said. Bumi rose 100 rupiah to 7,350, Indo Tambangraya gained 1,150 to 28,150 and United Tractors advanced 300 to 13,700.
Meanwhile, Bukit Asam dropped 50 to 11,600 on profit-taking in late trade, coming off an intraday high of 11,950. Among other gainers, index heavyweight Telkom rose 300 to 10,000 and instant noodle maker Indofood gained 75 to 2,900.
Some crude palm oil (CPO) stocks were hit by profit-taking after recent gains. Astra Agro dropped 1,300 to 32,100, Lonsum lost 350 to 12,700 and Bakrie Sumatra fell 75 to 2,525.