Jakarta shares dip

Indonesian share prices closed 0.94 percent lower on Wednesday on profit-taking in nervous trade as investors anticipated protests against the planned fuel price hike this weekend, dealers said.
The Jakarta Stock Exchange composite index lost 9.746 points at 1,027.888 on volume of 804.24 million shares worth 1.04 trillion rupiah (100.48 million dollars.)
Declines led advances 77 to 27 while 69 stocks were unchanged.
The rupiah was at 10,365/10,375 to the dollar, weaker compared to Tuesday's level of 10,270/10,280. Dealers attributed the rupiah's weakness to two main factors - the dollar's global strength and domestic concerns that the upcoming fuel price hike could spark violent protests.
The government plans to hike the fuel price, the second time this year, on October 1. The plan has been backed by parliament but there is still considerable nervousness about what is likely to be a very sharp increase as the government seeks to cut its subsidy burden.
"I think market players well understand that a fuel price hike is healthy for the economy but they also realise that ... a fuel price hike also has political implications," said Edwin Sinaga, an analyst with Kuo Capital.
He said what aggravated the market's concern were reports that thousands of people plan to stage street protests Thursday in Jakarta. Sinaga said if the street protests do not descend into violent unrest, the market would be able to bounce back after the fuel price hike. Key stocks retreated on profit-taking with Telkom down 50 rupiah at 5,150 rupiah, Indosat was down 150 at 4,900 and Astra International lost 300 at 8,850.
Gudang Garam was down 250 at 10,500, Medco Energi fell 50 at 3,475 and Indofood shed 10 at 690.
Among the banks, Bank Danamon was down 50 at 3,850.