JAKARTA, NETRALNEWS.COM - The Jakarta Composite Index (JCI) of the Indonesia Stock Exchange (IDX) is closed gaining 0.71 percent to 6,381.95 at the end of trading on Wednesday (11/09/2019). The composite index uptrend is attributed to the US-China trade war pressure that believed to have subsided and encourage optimistic market participants.
Meanwhile, the group of 45 leading shares or the LQ45 index moved 9.68 points or 0.98 percent to 1,002.54.
"Sentiment of stock market movements on the IDX is still influenced by sentiment from abroad, there is hope among investors that the trade war will abate," said President Director of Foster Asset Management Andreas Yasakasih in Jakarta, Wednesday (11/09/2019).
Andreas said US-China trade negotiations will be held in October. In addition to this issue, the inflow of foreign capitals is believed to be driving domestic stock trading back up again.
This was triggered by the projection of the benchmark interest rate cut by the US central bank (The Fed). Foreign investors recorded net buy of IDR 238.13 billion on Wednesday.
Andreas added that sentiment from within the country was also relatively conducive. The government continues to anticipate the potential for an economic recession, a situation that makes investor concerns about the slowdown of the national economy slightly eased.
"Some investors are also taking advantage of the momentum amid positive domestic sentiment," he said, as reported by Antara.
Andreas continued that household consumption, which contributed significantly to the national economy, would still grow despite the slight slowdown.
The frequency of stock trading was 629,214 times, with trading volume of 15.74 billion shares, and total transaction value of IDR 8.85 trillion. A total of 227 stocks rose, 180 stocks declined, and 157 stocks were unchanged.
Meanwhile, regional exchanges included the Nikkei index rose 205.66 points (0.96 percent) to 21,597.76, the Hang Seng index grew 475.38 points (1.78 percent) to 27,159.06, and the Straits Times index went up 48 , 81 points (1.55 percent) to 3,204.52.