JAKARTA (TheInsiderStories) - The Jakarta Composite Index (JCI) will moving in the range of 5,080-5,200, said Reliance Securities, confirmed the lack of sentiment ahead of the New Year holidays. While, Bank Central Asia (BCA) sees no domestic sentiment affecting the rupiah movement until next week.
Reliance Securities analyst Lanjar Nafi said the index is still likely to move towards the optimistic end of the range of movement. He recommended the stocks that can watch today liek ACES, KLBF, LSIP, MPPA, UNVR, AKRA, and ASRI.
Yesterday, the stock index closing up 75.25 points or 1.49% at 5102.95 levels with a relatively high volume. Miscellaneous consumer and industrial sectors led the gains where previously this sector plunged to the lowest level.
Speculation the majority of the share price corrected enough in the post-announcement of an increase in US interest rates made investors optimistic start window dressing at the end of the year. Foreign investors were seen ranging action to buy net Rp253,55 billion in trading yesterday.
On the exchange rate market,David Sumual, BCA’ economist, estimate the movement of Rupiah is totally dependent on external sentiment. He said the market expects rising crude oil prices will push up US inflation levels and this further adds to the market confidence that the chances the Fed raised interest rates three times in 2017 more wide open.
To that end of today (28/12), David estimates that the rupiah exchange rate will move in the range of Rp 13,420-Rp 13,460 per US dollar.
On Tuesday (27/12), Rupiah slipped 0.08% to Rp13,446 per US dollar and based on Bank Indonesia middle rate (JISDOR), the rupiah rose 0.25% to Rp13,436 per US dollar.