"Market investors are seizing the opportunity to accumulate lower price bonds after pressure on the IDX in the days before".Jakarta (ANTARA News) - The Indonesia Composite Index (IDX) has strengthened 39.29 points on Tuesday`s opening following investors buying some stocks.
The IDX opened at 5,773.14, or increased 39.29 points, or 0.69 percent, while the 45 prime bonds, or LQ45, strengthened 8.57 points, or 0.95 percent, to 915.47.
Binaartha Securities` analyst Reza Priyambada noted here on Tuesday that some market investors are buying selectively, and it has influenced IDX to rebound.
"Market investors are seizing the opportunity to accumulate lower price bonds after pressure on the IDX in the days before," he remarked.
However, IDX`s movement might be halted by negative sentiments from the weakening rupiah against the US dollar.
"The rupiah`s depreciation is overshadowing the stock market, and it might limit the IDX`s movement," Priyambada added.
Despite negative sentiments from the rupiah`s depreciation, the government`s efforts to maintain Indonesia`s economic fundamentals from the state budget`s side will lend confidence to investors, according to Valbury Asia Securities` vice president of research and analysis Nico Omer Jonckheere.
"The performance report until May has indicated positive budget maintenance from the revenue side through higher taxation and non-tax revenue as well as well-maintained expenditure," he noted.
From the regional bourses, Nikkei Japan weakened 22.93 points, or 0.10 percent, to 22,979.43; Shanghai Index weakened 9.79 points, or 0.30 percent, to 3,204.05; and Straits Times Singapore strengthened 7.80 points, or 0.22 percent, to 3,556.03.
Reporter: Zubi Mahrofi
Editor: Bambang Purwanto
Copyright © ANTARA 2018
