Jakarta, CNBC Indonesia – The Composite Stock Price Index (JCI) managed to strengthen in this week’s trading. Even though the war is raging in Ukraine, foreign investors are still keen to buy shares on the Indonesia Stock Exchange (IDX).
In weekend trading, the JCI finished at 6,928.33. Up 0.87% compared to the previous day.
This makes JCI up 0.58% so far this week point-to-point. JCI’s performance was better than the Shanghai Composite Index (-0.43%), Straits Times (-2.05%), Hang Seng (-3.79%), to Nifty 50 (-2.48%).
The swift flow of foreign capital became the motor for the JCI rate. Throughout the week, foreign investors posted net buys (net buy) IDR 4.57 trillion. Slightly higher than the previous week where net buy foreign investors recorded Rp 4.42 trillion.
The negative sentiment from the Russia vs Ukraine war did not (or hasn’t?) hindered the interest of foreign investors to enter the Indonesian stock market. In fact, it seems to be a positive sentiment.
Indonesia is a commodity producing country. Coal, palm oil, copper, tin, and so on are the mainstay products of Indonesia’s exports.
Russia vs Ukraine conflict made commodity prices soar. This will certainly be felt by issuers of commodity producers in Indonesia. The potential for profit surges is something so real that the stock of commodity issuers is worth collecting.
Yesterday, the share price of coal issuers ‘floated’. Shares of PT Adaro Energy Indonesia Tbk (ADRO) soared 16.48%. Then the share price of PT Indo Tambangraya Megah Tbk (ITMG) rose 3.91% and PT Indika Energy Tbk (INDY) shares ‘jumped’ 8.89%.
Then the shares of issuers producing palm oil skyrocketed. Yesterday, the share price of PT Astra Agro Lestrari Tbk (AALI) rose 2.64% and PT Perusahaan Perkebunan London Sumatra Indonesia Tbk (LSIP) increased 1.32%.
CNBC INDONESIA RESEARCH TEAM
(aji / aji)
–
