The fall of CSPI in last 2 days since Monday had a big impact on capital market in Indonesia. (Credit : CNBC)

Indonesia Stock Exchange : The share prices of six large capitals have collapsed

Siti Fatimah Adri
Politics & Economic
News Flash Indonesia
Aug 06, 2019
1857
The fall of Composite Stock Price Index (CSPI) in last 2 days since Monday had a big impact on capital market in Indonesia. Because along with the drop in CSPI, the share prices of six large-capitalized banks (BOOK IV, core capital above Rp 30 trillion) were also compactly collapsed on Tuesday (6/8/2019) session I on the Indonesia Stock Exchange (IDX).

In session I, IDX trade data noted that CSPI closed minus 0.98% at the level of 6,115.13. Yesterday, CSPI also closed down by 2.5% or the sharpest daily correction since September 2018. Not even the CSPI felt sweetness of green zone today.

JCI drop was also driven by weakening of the following shares: PT Bank Central Asia Tbk / BBCA (-2.5%), PT Astra International Tbk / ASII (-1.81%), PT Bank Rakyat Indonesia Tbk / BBRI (-3 , 51%), PT Bank Mandiri Tbk / BMRI (-2.02%), and PT United Tractors Tbk / UNTR (-3.35%).

Weakening of the shares of the six BUKU IV banks was also triggered by exit of foreign investors. Foreigners off BMRI shares up to Rp 114.8 billion, BBRI net sell Rp 336 billion, BBCA net sell Rp 309 billion, and BBNI net sell Rp 34.44 billion.

The foreign investors also took profits by releasing shares on IDX of IDR 953.17 billion in regular market and IDR 2.90 billion in negotiable and cash markets, continuing the net sell that occurred yesterday above Rp 1 trillion. But on a year to date basis, foreigners recorded a net purchase of Rp 63.13 trillion.

Edwin Sebayang, Head of Research at MNC Sekuritas, said that yesterday's correction in the Jakarta Composite Index (JCI) was quite influenced by external factors such as the increase in import tariffs on Chinese goods imports of US $ 300 billion by the US government. In fact, possibility of the tariff increased again. In addition, another factor is the non-aggressive Fed Funds Rate (FFR) rate cut by the US central bank, The Fed.

Source: https://www.cnbcindonesia.com/market/20190806123050-17-90146/ihsg-anjlok-saham-bank-buku-iv-kompak-berguguran