Investors to Monitor Bank Performances
JAKARTA: Investors are estimated to monitor financial performances as of September of publicly listed banks as one of the factors, in addition to inflation and interest rate announcements, to consider whether they will invest in the capital market or not.
The Composite Stock Index (IHSG) on the Indonesia Stock Exchange (BEI) is potential to be bearish if the financial sector performance was not as expected by the market.
An analyst at PT E-Capital Securities Ni Putu Kurniasari revealed investors were worried that IHSG recovered too soon than other indices, so that they monitor the financial sector indicators to confirm whether the national economic growth expectation was justified or not.
"Worries on the fact the bourse increased too soon led to corrections last week. Investors again monitored actual data on banking sector performance. The want to know whether the real sector-accelerating industry can survive until the third quarter and can quickly recover amid crisis," he told Bisnis last weekend.
If the financial performance of the banking sector didn't live up their expectation, he added, banking stocks could be sold, which would be potential to lower the index. Previously, the index had been declining three days in a row from Tuesday to Thursday.
At the time, IHSG slumped 0.74% to 2,502.22 when publicly listed PT Bank Danamon announced their earnings for the third quarter of 2009 declined by 22.15% to IDR1.37 trillion from IDR1.76 trillion last year.
"The disappointing performance of Bank Danamon makes investors set no high expectation. In addition, since the positive sentiments have yet been too significant, so that IHSG will still be consolidating," told Ni Putu.
Ni Putu estimated IHSG at 2,500 with a support level of 2,390 and a resistance level of 2,500.
Last week, IHSG fell 1.9% from 2,515.81.In the meantime, the Bisnis-27 index jumped 1.58% to 225.37.The Kospi index rose by 0.6% to 1,640.17, the Nikkei-225 index increased by 0.15%, and the Hang Seng index was upbeat. However, the Dow Jones index last week fell by 1.08% to 9,972. (Bisnis/ags/21)