Oil Prices Back 'beat up' Wall Street

Oil Prices Back 'beat up' Wall Street

Wall Street again weakened in trading Friday on fears of Middle East political crisis and oil prices are still not stable in the next few weeks.

These concerns cover the good news from within the United itself, namely the unemployment rate had dropped to below 9%, the first time in two years. But investors still fear the adverse effects of the crisis Libya.

Brent crude oil rose to above U.S. $ 116 per barrel and the CBOE Volatility Index VIX. VIX, or commonly called a gauge of risk Wall Street rose 2.7% to as low as 19.11.

"After the rally a few days, the market becomes very vulnerable to a variety of news, particularly about rising oil prices," said Director of Trading and Derivatives Schwab Center for Financial Research Randy Frederick, as quoted by Reuters on Saturday (03/05/2011).

Earlier this week, data on positive U.S. employment has lifted the shares to its highest position since three months ago.

However, the bank's shares tumbled after Merrill Lynch actually declare their income in the quarter I-2011 could go down due to soaring world oil prices and reduced activity of their clients.

In trading Friday (03/05/2011) local time, the Dow Jones index fell 88.32 points (0.72%) to the level 12169.88. The broader Standard & Poor's 500 index decreased 9.82 points (0.74%) to a level of 1321.15. The Nasdaq Composite Index fell 14.07 points (0.50%) to a level of 2784.67.

During the week, the Dow Jones Index rose 0.3% and S & P and Nasdaq both increased 0.1%. A total of 7.73 billion shares traded on the New York Stock Exchange, NYSE Amex and Nasdaq, this figure is still low compared to average daily trade last year amounted to 8.47 billion shares.

Gas Supply orioles resigns over Bakrie Group Involvement

Gas Supply orioles resigns over Bakrie Group Involvement

Bakrie group's involvement in the negotiations between Petronas orioles gas field with PT PLN (Persero) makes pullback realization of state-owned gas to the electric sector. PLN estimates that the distribution of gas to PLTGU Tambaklorok retreated into the fourth quarter of 2014, or go back three years from the original plan.

This was conveyed by the Director of Primary Energy PLN (Persero) Nur Pamudji through a press release, which received detikFinance on Wednesday (02/03/2011)

"The involvement of Bakrie group in a transaction between Petronas and PLN causes the decline of the realization of the distribution of gas to PLN, predicted a fourth-quarter 2014 or back 3 years from the original plan. In addition, due to concession in the field orioles Petronas will expire in 2021, then the amount of gas produced decreased to 290 bcf, "he said.

Pamudji said thus PLN estimates that gas prices will likely more than $ 5 per mmbtu, which is caused by the reduced volume of gas in the transaction, the rising costs of development wells due to inflation, and the emergence of the risk of failure of pipeline-gas because the process is not controlled by gas producers .

He said at the end of 2008, the electricity and gas producer that is Petronas Carigali already agreed on the amount of gas to be produced is 354 bcf, with a schedule of gas into the fourth quarter-2011, the price is below U.S. $ 5 per mmbtu to the point of handing over the power Tambaklorok.

Drainage of gas from wells to power made by Petronas. The agreement was submitted to the Government for the approval process of the BP-Migas before it is poured into a contract of sale of gas.

He added that by 2009, concession holders pipe Kalimantan-Java gas (Kalija) that the Bakrie group proposed that the drainage of gas from the well-gas to PLN's power plant is done through what is called Kalija stage-1, which is a piece of subsea pipeline between the gas wells next to Muria peninsula north to power plants in Semarang.

The result Pamudji said, after a discussion which is time consuming, this proposal was approved by the Government in late 2010, and promised that the PLN to PLN are still buying gas at the point of handing over power plant at a price agreed with Petronas.

Supervise completion of gas pipe was switched from BP-Migas to BPH-Migas. PLN is also concerned that the cost of the drainage of gas by pipeline Kalija concessionaires will be higher than the cost calculations made by the producer gas.

He said the cost of financing the construction of gas pipelines that are not integrated with gas wells can be sure will be more expensive than if the pipe is built integrated with gas wells. Ultimately has to bear all of this cost increase is PLN, and in turn will raise the electricity subsidy.

"PLN hope that this case orioles gas into a valuable lesson for all stake holders electricity. PLN want the Government to outline the transactions directly between PLN with gas producers, without involving third parties," he said.

He said if the BP-Migas want for gas pipeline construction costs are not included in the cost recovery component, could have cost borne by PLN in the form of installment payments per mmbtu to gas producers, but should build a gas pipeline is still being done by the gas producers in one control management with the development of gas wells so that the cost of financing the pipeline is minimal.

At present, he added that the company had managed to agree on some new transactions with other gas producers, and awaiting approval from the Government. PLN worry, there are third parties who attempt to submit a proposal to the Government to get involved in new transactions, and orioles court case could happen again.

Ignore Wall Street Higher Oil Prices

Ignore Wall Street Higher Oil Prices

Stock indices on Wall Street had gained a thin, though still shadowed by the high crude oil prices. Investors responded positively to the economic data that gives a signal to accept the high price of oil.

The movement of stock indices on Wall Street quite volatile in trading yesterday. Brent oil had penetrated the highest point above the U.S. $ 117 per barrel before finally receding. Brent oil closed up 93 cents to U.S. $ 116.35 per barrel.

"The shock wave of the beginning (of the spike in oil prices) has gone and we realize that the world economy was fine, our economy is fine. There happened balance each other," said Joseph Benanti, managing director at Rosenblatt Securities, was quoted as saying by Reuters Thursday (03/03/2011).

In trading Wednesday (03/02/2011), the Dow Jones closed rose 8.78 points (0.07%) to the level 12066.80. The broader Standard & Poor's 500 also rose 2.11 points (0.16%) to a level of 1308.44 and the Nasdaq rose 10.66 points (0.39%) to a level of 2748.07.

But the trading volume is not too large, transactions on the New York Stock Exchange amounted to only 7.69 billion shares, below the daily average so far this year which amounted to 8.47 billion shares.

Quite positive economic data, from the Federal Reserve's Beige Book showed the economy was stretched during the 2011 and private survey showed strong demand for the private sector.

Shares of Apple managed to boost the Nasdaq after chief executive Steve Jobs surprised investors by appearing in person at the launch of new iPad in San Francisco. Shares of Apple rose to 0.8% to as low as U.S. $ 352.12.

Meanwhile, Yahoo Inc. shares rose to 3.3%. Yahoo is in talks to release its cooperation in Japan in order to compete with Google Inc. and Facebook.

Gold Price Could crowbar New Record

Gold Price Could crowbar New Record

Gold prices had struck a new record at U.S. $ 1,440 per ounce before finally falling again. Investors still continue buying safe investments amid turmoil in oil prices due to crisis in the Middle East.

In trading Wednesday (03/02/2011), gold in the spot market price had jumped to U.S. $ 1,440.10 per ounce, which is a new record high. Akhrinya gold price closed up 10 cents to U.S. $ 1,433.81 an ounce. The price of gold in London was at the level of U.S. $ 1435.50.

Prices of gold futures for April delivery rose 6.50 dollars recorded a U.S. $ 1,437.70 with a slightly lower volume than the average in the last 30 days.

Since January, the price of gold has been noted that jumped to 10% following the start of the crisis in the Middle East and Africa.

"You get the political crises in various parts of the world, the U.S. central bank is still on the side to loosen rather than tighten their policies, rising commodity prices in general and continue diremehkannya currency has been agreed in general," explained Dennis Gartman, author of the daily investment, such as Gartmen Letter quoted by Reuters on Thursday (03/03/2011).

"So be illogical if the gold price does not rise again," he added.

In his testimony before Congress, Federal Reserve Governor Ben Bernanke said the spike in oil prices should only provide a small and temporary impact on overall U.S. inflation. The view of the Fed to continue the policy of loosening that has sparked inflation makes investors choose to keep buying gold.

Besides gold, other commodities are soaring crude oil. Gold prices, light sweet yesterday closed above U.S. $ 102 per barrel. Brent oil had penetrated the highest point above the U.S. $ 117 per barrel before finally receding. Brent oil closed up 93 cents to U.S. $ 116.35 per barrel.

Entrepreneurs Gather, Boediono (vice-president of Indonesia) Want to Reveal Young Entrepreneurship

Entrepreneurs Gather, Boediono (vice-president of Indonesia) Want to Reveal Young Entrepreneurship

Vice President (VP) Boediono invited a number of top businessmen to his office. Vice President requesting the cooperation of employers is to optimize the productive age in Indonesia, whose numbers more and more.

"Kan, future generations will be a generation of productive, so how are we to think of ideas to participate with the concept for our generations to come so that it can accept the challenge," said Vice President Director of PT Indofood Sukses Makmur, Franciscus Welirang.

Franciscus is one of the businessmen who attended the meeting of about 2.5 hours in the Office of the Vice President, Jalan Medan Merdeka Selatan, Central Jakarta, Wednesday (02/3/2011), the. Another businessman who was invited, among others, the leadership of Ciputra Group, Blue Bird, Maspion Group, Mustika Ratu, PT Sido Appear, PT Holcim Indonesia, PT Freeport, and others.

According to Franciscus, yet there is something concrete from the talks in the afternoon until the evening. However, Vice President and the businessmen agreed to consider the future of the younger generation.

"The young generation, is not it, there will be a businessman too. Now, let's look at the opportunities and how of our educational system in the future, thus providing the human resources potential," added Franciscus.

Meanwhile, a spokesman for Vice President, Yopie Hidayat added that this meeting is an initiative of pure Boediono. VP entrepreneurs gather in anticipation of the demographic dividend of the greater number in Indonesia.

"The problem is if people do not get the old productive employment opportunities, this dividend could be disastrous. Well this is the last think together how to create programs that focus beyond job creation," said Yopie.

According Yopie, various inputs submitted by employers to the Vice President. Among other things, they propose to increased entrepreneurship spirit, which is oriented to entrepreneurial education and internship programs are more lenient.

"There will be more meetings. This is not the first nor the last meeting," said Yopie.

Petrosea profit soared 25-fold to U.S. $ 42 Million

Petrosea profit soared 25-fold to U.S. $ 42 Million

PT Petrosea Tbk (PTRO) posted a net profit of U.S. $ 42.254 million in 2010. Corporate earnings up more than 25-fold from the previous period, U.S. $ 1.59 million.

According to company financial reports are published on Wednesday (03/02/2011), the increase in earnings mainly contributed by the portion of earnings from PT Santan Coal (SB) and PT Tirta Kencana Cahaya Mandiri (TKCM) as an associate, with a value of U.S. $ 14.385 million.

Company revenues fell from U.S. $ 171.826 million to U.S. $ 186.949 million. With the load that reached U.S. $ 131.683 million, PTRO recorded a gross profit of U.S. $ 55.266 million.

Company operating income also fell 3.04% to U.S. $ 38.296 million from the previous period last year, U.S. $ 39.497 million. The fall in operating profit performance for administrative expenses increased slightly from U.S. $ 15.9 million to U.S. $ 16.97 million.

However, income before direct taxes immediately improved, even rocketed over the entry of income from associated companies amounted to U.S. $ 14.385 million. Profit before tax rose from only U.S. $ 4.564 million to U.S. $ 51.593 million.

Net income ultimately be at the level of U.S. $ 42.254 million, with earnings per share from the previous U.S. $ 0.41, U.S. $ 0.01.

Inspired JCI Global Stock Rebound

Inspired JCI Global Stock Rebound

Composite Stock Price Index (CSPI) closed lower yesterday along with the weakening that occurs in the world's major exchanges, responding to world crude oil price hikes.

In trading on Wednesday (03/02/2011), JCI closed corrected 26.420 points (0.76%) to the level of 3486. While LQ 45 Index fell 4.121 points (0.66%) to a level of 618.619.

"After the index rose because of euphoria low inflation data released CPM, JCI directly affected by selling pressure. Strengthening previously only temporary. JCI was forced to close down due to foreign investors took profits on mining stocks which have risen some time ago," explained Reza Priyambada
Managing Research Indosurya Asset Management.

The improvement in the world's major bourses under threat despite high oil prices will give a positive sentiment for the JCI movement. In trading Thursday (03/03/2011), JCI is expected to move to strengthen despite the thin-thin it.

Wall Street last night managed to strengthen thin, though still shadowed by the high crude oil prices. Investors responded positively to the economic data that gives a signal to accept the high price of oil.

In trading Wednesday (03/02/2011), the Dow Jones closed rose 8.78 points (0.07%) to the level 12066.80. The broader Standard & Poor's 500 also rose 2.11 points (0.16%) to a level of 1308.44 and the Nasdaq rose 10.66 points (0.39%) to a level of 2748.07.

Japanese Exchange in recent days depressed eventually rebound. The Nikkei-225 Index began trading Thursday with the increase of 60.65 points (0.58%) to a level of 10,553.

The following recommendations for the stock today:

eTrading Securities:

In today's trading stock index closed down 26 points (-0.75%) to 3,486.20 following a re-level prices that have a negative sentiment for most global stock markets. Foreign recorded on this day do net sell Rp17 billion to the sector's most lots out is the energy and mining sectors. Technically JCI visible still in the phase of consolidation with the stochastic and MACD indicator still showed a tendency to strengthen. In trading tomorrow JCI is expected to move dikisaran 3.432 to 3.547 with stocks that can be considered al BBTN, LSIP, and JSMR.

Panin Securities:

JCI experienced profit taking following yesterday's negative sentiment from the weakening of regional exchanges. With the decline, the index again failed to penetrate the upper limit of the area of consolidation. We look for some future time the index will still be moving in the same pattern. Today we projected the index would move in the range of support-resistance 3457-3500. Stock option trading today: BMRI, KLBF, INDF, LSIP.

Krena Securities:

Unfavorable global sentiment associated rise in oil prices makes JCI still not managed to penetrate the resistant 3530. Thus, JCI is expected to still tend to consolidate in the range of 3433-3510 with BBTN and TLKM as stock options.

Indosurya:

In trading Thursday (3 / 3), it is estimated will be in the index and resistance 3446-3466 support 3509-3531. Candle failed to confirm the continued strengthening after the formation of white marubozu which generally indicates the effect of purchasing power. Yesterday, the hanging man candle shape resembles that generally indicate reduced purchasing power to raise prices and force the marketability of trying to suppress the price. MACD is moving up but terbats with positive histogram retracts. RSI, William's% R and Stochastic still try approaching overbought area, but also restrained. Finally, what we fear will happen profit-taking, occurred in the JCI. Market uncertainty but with a positive U.S. stock market will at least keep falling further.