JAKARTA, KOMPAS.com - Indonesia shares are likely to weaken as falls in most Asian markets so far may inspire investors to take profits after a 1.6%-gain in the previous two sessions, traders say. They expect the main index to move in a 3740-3770 range after it ended up 0.9% yesterday at 3760.061. Is everything making sense so far? If not, I'm sure that with just a little more reading, all the facts will fall into place.
Overall, I think the market will consolidate after its recent rally and ahead of the results of Bank Indonesia's meeting on interest rates later today, says a trader with a foreign securities firm.
The vast majority of the 14 economists polled by Dow Jones expects the central bank to keep its key interest rate at 6.5% as higher rate differentials with developed nations could further attract hot money flows into the country. Bank Mandiri and car maker Astra may lead the losers, due to profit-taking.
Overall, I think the market will consolidate after its recent rally and ahead of the results of Bank Indonesia's meeting on interest rates later today, says a trader with a foreign securities firm.
The vast majority of the 14 economists polled by Dow Jones expects the central bank to keep its key interest rate at 6.5% as higher rate differentials with developed nations could further attract hot money flows into the country. Bank Mandiri and car maker Astra may lead the losers, due to profit-taking.
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