Indonesian share prices closed 0.6 percent higher on Thursday in a technical rebound led by blue chips, with investors taking their cue from the stronger performances of other Asian markets, dealers said. The Jakarta Composite Index closed up 16.80 points at 2,656.46, off an intraday high of 2,671.02.
Volume was 2.6 billion shares worth 4.55 trillion rupiah (500.5 million dollars). Advancers led decliners 101 to 82, while 62 stocks were unchanged. The rupiah was trading at 9,062/9,072 to the dollar, strengthening slightly from 9,090/9,095 late Wednesday. "Telkom was strong today but I don't see any reasons to buy (the stock) other than the fact that it has gone down a lot recently," said Endang Purnama, a dealer at Panin Securities.
Telkom, which accounts for about 10 percent of the stock exchange's market capitalisation, lost about 8 percent over the past week. Telkom finished up 300 rupiah at 9,700. Purnama said the main index gave up some of its gains in late trade as a number of investors rushed to make quick profits ahead of the long weekend.
The financial markets will be closed Friday for a public holiday. Bumi Resources added 200 to 7,200 while PGN gained 300 to 13,900. Palm oil company Astra Agro rose 100 to 32,250 after Credit Suisse raised its target price for the stock to 38,500 from 36,015.
The target price was raised to reflect Credit Suisse's higher earnings forecast for the company after the brokerage increased its crude palm oil price assumptions for 2008 and 2009.