REPUBLIKA.CO.ID, JAKARTA -- The Jakarta composite index (JCI) opened slightly higher on Monday boosted by positive domestic and global sentiments, analysts said.
The index of the Indonesian Stock Exchange rose 1.73 points or 0.03 percent to 5,168.72 points with index of 45 most liquid stocks up 0.05 percent to 891.30.
"The majority of the global markets recorded gain and the sentiment is positive in the country contributing to the rise in the JCI," Samuel Sekuritas' analyst Tiesha Narandha Putri said.
The government was reported to have decided to use fixed subsidy on oil fuel (BBM) starting in 2015, Tiesha said.
"The decision brought about positive sentiment for retain and consumer shares," she added.
The majority of Asian markets opened stronger on Monday morning driven by sentiment from US market which hit a record high last week amid thin transactions, she said.
Thin trading is expected this week on the domestic market on long year-end holidays, but there is potential of gain with the window dressing, she said.
Regional markets such as Hang Seng, Nikkei and Straits Times recorded an increase in indices in the morning trade on Monday (29/12).
Meanwhile, the rupiah value fell against the US dollar in interbank transaction trading at the level of 12,433 per dollar from earlier level of 12,409.
"Rupiah weakened against the US dollar which rose boosted by the US GDP growth in the third quarter of this year," chief researcher of Woori Korindo Securities Indonesia Reza Priyambada said.
Reza said the market players chose to hold dollar as a safe haven currency amid the on going recovery of the US economy.
"Under such condition rupiah upward move would be curbed," he said, adding "it seems toward the end of the year the US dollar would continue to gain with the strong sentiment of US economic recovery."
However, rupiah is relatively stable thanks to protection by Bank Indonesia, which said it would keep the rupiah level of 12,300-12,500 per dollar.
"The central bank still have a number of other ways to maintyain rupiah stability," he added.
Ikuti Whatsapp Channel Republika