JAKARTA (Yosefardi) – Composite index of the Indonesia Stock Exchange (IDX) opened lower 1.48% at 4488 this morning as profit taking local stocks after recent gains, responded highly positive to the decision of the US Federal Reserve to raise its key Fed Fund Rate by 25 basis points on Wednesday (December 16).
Asian shares took their cue from Wall Street and slipped on Friday, but were still on track for gains in a week marked by a depreciating yuan in China and the first U.S. interest rate hike in nearly a decade, Reuters reported.
Foreign investors booked net buy of Rp1.13 trillion in local stocks on Thursday (December 17), cutting year to date net sell to Rp21.77 trillion. After the US central bank ended the quantitative easing program last year, there has been severe market volatility in 2015 due to uncertainty about the US rate hike (as well as China’s economic slowdown).
Astra International dropped 3.1%, Bank Rakyat Indonesia fell 2.6%, Bank Mandiri declined 2.2%, Bumi Serpong Damai shed 2.3%, XL Axiata slashed 2.56%, Semen Indonesia lost 3%, and United Tractors dropped 3%.