JAKARTA (Yosefardi) – Composite index of the Indonesia Stock Exchange (IDX) jumped 1.3% to 5406 at the opening trade this morning following the BI Rate cut.

The centralk bank, Bank Indonesia (BI), had on TUesday (Feb 17) decided to lower its benchmark BI Rate by 25 basis points to 7.50%, with the Deposit Facility rate also reduced 25 bps to 5.50% and the Lending Facility rate maintained at 8.00%.

BI convinces that inflation will remain under control at the lower end of the 4±1% range in 2015 and 2016. The current policy direction is consistent with BI’s efforts to reduce the current account deficit to a more sustainable level.

Foreign investors booked net buy of Rp375.83 billion in local stocks, making their year-to-date net buy to total Rp7.15 trillion.

U.S. Stocks advanced on Tuesday on Optimism Over Greece. Regional markets also gain this morning. Nymex’s crude oil declined 0.67% to US$53.17 per barrel in Asian trading this morning and gold inched down 0.07% to US$1,207.70 per ounce.

At Jakarta bourse, Astra International gained 2.24%, Alam Sutera rose 3.97%, Bank Central Asia increased 2.49%, Bank Rakyat Indonesia climbed 3.33%, Bank Mandiri surged 3.63%, Bank Negara Indonesia hiked 2.6%, and Bumi Serpong Damai lifted 3.96%.