"The BEI index fell following profit taking by holders of bank, consumer and automotive stocks. The pressure grew on fear that the Chinese slowdown would continue," analyst Etta Rusdiana Putra said.
Jakarta (ANTARA News) - The Jakarta composite index closed lower again on Monday on Chinese economic slowdown that prompted profit taking.

The index of the Indonesian Stock Exchange fell 114.56 points or 2.65 percent to 4,322.78 points with index of 45 most liquid stocks down 3.41 percent to 722.39 points.

"The BEI index fell following profit taking by holders of bank, consumer and automotive stocks. The pressure grew on fear that the Chinese slowdown would continue," Kresna Securities analyst Etta Rusdiana Putra said.

Possible further cut to be announced on Thursday in the Feds stimulus put pressure on the Asian markets including BEI, Etta said.

Fear of an increase in domestic inflaiton also added to the negative sentiment, she said.

The countrys inflation is expected to surge as a result of devastating flooding hitting most of the country hampering distribution of essential goods over the past three weeks.

"We predict inflation in Janaury would rise to 0.8 percent month-on-month from 0.6 percent in December," Etta said.

There were 249,511 transactions in Monday trading at BEI with 4.61 billion shares worth Rp4.80 trillion changing hands.

Regional markets such as Hang Seng recorded a 2.11 percent fall in index to 21,976.10, with Nikkei down 2.51 percent to 15,005.73 and that of Straits Times declining 1.18 percent to 3,039.79 points.(*)

Editor: Heru Purwanto
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