"Selling action tended to decline , opening an opportunity for the market players to choose second layer stocks selectively," analyst Yuganur Wijanarko said.
Jakarta (ANTARA News) - The Jakarta composite share price index closed higher at 4,334.80 points on Monday with less selling action by investors .

The index of the Indonesian Stock Exchange (BEI) rose 16.84 point or 0.39 percent from closing level last weekend with index of 45 most liquid stocks up 0.37 percent to 723.59 points.

HD Capitals analyst Yuganur Wijanarko said technically the index rise indicated change in short term decline to steady growth.

"Selling action tended to decline , opening an opportunity for the market players to choose second layer stocks selectively," he said.

Mondays trading at the BEI recorded 97,249 transactions with 3.22 billion shares worth Rp3.68 trillion changing hands.

Regional markets such as Hang Seng recorded a 0.05 percent fall in index to 23,605.45 points with Nikkei-225 index up 1.54 percent to 15,619.13 points and that of Straits Times gaining 0.25 percent to 3,180.65 points.

Meanwhile, rupiah regained part of its losses in value against the US dollar closing at 11,519 per dollar following intervention by Bank Indonesia (BI) that seeks to keep rupiah stable after a declining trend in the past several days.

In inter-bank transaction on Monday afternoon, rupiah gained from the level of 11,702 per dollar in last weekends closing .

Financial market analyst from Bank Mandiri, Rully Arya Wisnubroto said rupiah fluctuations had been curbed by Bank Indonesia to soften the impact of pressure on rupiah.

"Rupiah is expected to continue to fluctuate in the future and tends to weaken amid uncertainty in the global market over the Fed plan to reduce monetary stimulus," Rully said.

Bank Indonesia , however, is expected to continue intervention to keep the currency from falling deeper against the US dollar, he said.

He said there is no positive sentiment expected domestically and the market is still waiting for the announcement of the countrys economic data early December.

"Inflation is expected to be stable but the market players are still worried," he said.

He predicted rupiah would move around the levels of 11,350--11,750 per dollar this week .

Senior Deputy Governor of Bank Indonesia (BI) Mirza Adityaswara said the condition is improving in the position of rupiah against the US dollar.

"Rupiah is already in good position," Mirza said on Monday. (*)

Editor: Heru Purwanto
Copyright © ANTARA 2013