JAKARTA (Yosefardi) – Shares of Bank Mandiri soared 13.67% at mid afternoon trade on technical buying as the stock had fallen 27% from its peak year to date.
Investors might also expect furhter BI Rate hike to tap high inflation and protect rupiah further correction against the US Dollar. Central Bank governors will hold a meeting on BI Rate policy on Thursday this week.
Other banking stocks were also focus of buying today. Bank Rakyat Indonesia and Bank Negara Indonesia jumped more than 11%. BRI lost 17% from its peak while Bank Negara Indonesia fell 27% from its peak year to date.
Bank Central Asia gained 3.7%, Bank Tabungan Negara rose 3.3%, while Bank Bukopin jumped 6.78%.
While composite index of the Indonesia Stock Exchange (IDX) gained 3.2% to 4,326 this mid afternoon trade.