After experiencing 3 consecutive days of growth, Indonesia’s benchmark stock index (known as the Jakarta Composite Index or IHSG) weakened on the first trading day of the week after market participants engaged in profit taking. As such, and contrary to its usual performance, the index did not follow rising global indices on Friday (07/02). The IHSG fell 0.36 percent to the level of 4,450.75 points on Monday (10/02). Domestic investors recorded a net sell, while foreign investors recorded a net buy of IDR 842 billion.
Investors were also disappointed to learn that several Indonesian companies' financial results of 2013 - which have started to be released since last week - indicated slowing net profit compared to 2012. For example, Bank Tabungan Negara's net profit fell from 22 percent in 2012 to 15 percent in 2013, and Bank Mandiri's net profit slowed from 27 percent in 2012 to 17 percent in 2013.
Asian stock markets were up on Monday (10/02) following the rally on Wall Street at the end of last week.