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BEI: Flow of Foreign Funds Shows Investors` Confidence

From Antara 
March 6, 2015

President Director of Indonesia Stock Exchange (BEI) Ito Warsito believes that the flow of foreign funds into the countrys capital market reflects investors confidence in Indonesia. "On Thursday (March 3), foreign investors recorded a net purchase of Rp11,547 billion. They have added funds to the secondary market since the beginning of January," Warsito said here on Friday.

"Foreign investors make long-term investments. They are not concerned about the weakening value of the rupiah," he explained.

The situation will enable the Indonesian Composite Index (IHSG) to record a positive performance in 2015, according to the BEI president director.

An analyst from Asjaya Indosurya Securities, William Suryawijaya said that the JCI can remain positive, sustained by selective buying amid domestic economic data to be released, including that on the foreign exchange reserves that are expected to increase in February following improvements in trade balance.

As long as the JCI is maintained above the level of 5,300 points, this trend will continue and can hit the level of 6,000 points by the end of this year, Mantiq noted.



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