IHSG strengthening forecast as market awaits US trade balance data

 

Jakarta The Jakarta Composite Share Price Index (IHSG) is projected to strengthen on Thursday, as the market awaits the release of the US trade balance data.

The Indonesian Stock Exchange (BEI) index rose 12.59 points, or 0.24 percent, to reach 5,324.56, while the index of the 45 most liquid stocks increased 2.86 points, or 0.34 percent, to touch 846.03.

“We think that the decline in IHSG early this week will be sufficiently compensated by investors, so the accumulation will potentially boost the IHSG to strengthen,” he stated.

Furthermore, the positive trend at regional markets and expectations of a commodity price hike, especially of gold, could encourage the strengthening of mining stocks on Thursday.

On the external front, investors are adopting a wait-and-watch approach before the Thursday release of US trade balance data that is expected to suffer a deficit of US$58 billion in July, widening from $50.7 billion a month earlier.

In regional markets on Thursday morning, the Nikkei Index swelled 300.45 points, or 1.29 percent, to 23,547.6; the Hang Seng Index rose 76.25 points, or 0.3 percent, to 25,296.34; and the Straits Times Index fell 2.47 points, or 0.1 percent, to touch 2,537.47.

 

Source: Antara News