FX.co ★ Indonesia Stock Market May Find Traction On Tuesday

The Indonesian stock market has experienced a downturn in consecutive sessions, witnessing a drop of over 90 points or 1.2%. The Jakarta Composite Index is currently positioned just below the 7,075-point mark, however, it's predicted to increase when markets open on Tuesday. This optimistic global forecast for Asian markets is based on attempts at bargain hunting, particularly among technology stocks which faced significant losses the previous week. European and U.S. markets have shown growth, and Asian markets are expected to follow this trend.

On Monday, the Jakarta Composite Index closed slightly lower due to a mix of performances from financial, cement, and resource stocks. The index dipped 13.50 points or 0.19% to finish at 7,073.82. Notable fluctuations among active stocks included a 0.14% rise in Bank CIMB Niaga, a 2.39% rally in Bank Negara Indonesia, a 0.47% increase in Bank Rakyat Indonesia, and a 2.83% fall in Indosat Ooredoo Hutchison. Other varying performances were seen in Indocement, Semen Indonesia, Indofood Sukses Makmur, United Tractors, Astra International, Energi Mega Persada, and Astra Agro Lestari.

Wall Street revealed a positive lead as the major averages opened higher and remained so throughout the trading day. The Dow rallied 253.58 points or 0.67%, finishing at 38,239.98. NASDAQ jumped 169.30 points or 1.11%, closing at 15,451.31, and S&P 500 gained 43.37 points or 0.87%, ending at 5,010.60.

Wall Street's strength emerged amidst decreasing fears of a broader Middle East conflict following calculated counterattacks by Iran and Israel, aimed to avoid any casualties. Investors sought bargains prior to the release of several U.S. economic data, including reports on new home sales, durable goods orders, and personal income and spending.

The earnings season also ramps up this week, with reports expected from Tesla, Boeing, IBM, Caterpillar, Honeywell, Alphabet, Intel, Microsoft, Chevron, and Exxon Mobil.

Oil prices declined on Monday owing to concerns about the global oil demand forecast. The recent report showing a substantial increase in U.S. crude inventories has further affected oil prices. West Texas Intermediate Crude oil futures for May dropped $0.29 or 0.34% at $82.85 a barrel.