Indonesia rebounds; energy shares lift Thai index

Reuters Updated - January 24, 2018 at 04:17 PM.

Indonesia’s main stock index rose on Tuesday as fund inflows lifted the banking shares, while the Thai benchmark broke above the key 1,600-level as a rebound in crude oil prices triggered buying interest in select large-cap energy shares.

Asian stocks gained on Tuesday as hopes for an agreement on Greece’s debt situation lifted the risk appetite.

The Jakarta composite index traded 0.4 per cent higher, recovering from a loss on Monday. Shares of Bank Mandiri, Bank Rakyat Indonesia and Bank Negara Indonesia were among those actively traded as foreign investors led buyers, Thomson Reuters data showed.

Lower-than-expected inflation in January and interest rate outlook underpinned the sentiment, brokers said.

“Combined with the possibly declining deposit rates, this should be positive for banking sector,’’ broker Trimegah Securities said in a report.

Bangkok’s SET index was up 1.1 per cent at 1,600.06, led higher by a 4.4 per cent gain in the shares of energy explorer PTT Exploration and Production and a 2.8 per cent jump in the shares of top energy firm PTT.

Broker Maybank Kim Eng Securities has advised investors to accumulate stocks when the index contracts during trading hours.

“The market correction should end soon, rebound and break the 1,600 level, supported by the improving fourth quarter earnings of Thai listed companies and the recovering price of oil,’’ it said in a report.

Singapore’s key index reversed gains from the previous day, while the Philippine index was on course for a second straight day of falls, further pulling away from a record close of 7,689.91 hit on January 30.

Vietnam eased 0.5 per cent, poised for a fourth consecutive day of loss. Malaysia remained closed on Tuesday, will reopen on Wednesday.

Published on February 3, 2015 06:44