Wall Street experienced a strong performance on December 4, 2024, with the Dow, NASDAQ, and S&P 500 all reaching record closing highs, which set a favorable backdrop for Asian markets.

This positive trend in the Indonesian market is bolstered by an optimistic outlook for Asian markets, driven by improved interest rate expectations despite ongoing geopolitical tensions.

The Indonesia stock market has shown resilience, rising for two consecutive sessions and gaining nearly 280 points, or 3 percent, with the Jakarta Composite Index now above 7,325 points.

On December 4, the Jakarta Composite Index increased by 130.75 points, or 1.82 percent, closing at 7,326.76 after fluctuating between 7,187.48 and 7,328.32.

Key sectors contributing to these gains in the Indonesian market include food, finance, telecom, cement, and resources.

Notable stock movements included Bank Negara Indonesia rising by 3.56 percent and Timah surging by 9.77 percent, while Bank Maybank Indonesia saw a decline of 0.92 percent.

In the U.S., the positive sentiment was further driven by weak economic data suggesting a potential interest rate cut, with a 75.5 percent probability of a 25 basis point reduction indicated by CME Group's FedWatch Tool.

Fed Chair Jerome Powell emphasized a cautious approach to rate cuts, citing ongoing economic strength as a key consideration.

Meanwhile, crude oil prices fell on December 4, 2024, with West Texas Intermediate crude dropping by $1.40, or 2 percent, to $68.54 per barrel, influenced by geopolitical issues in the Middle East and Europe.

On the same day, the Dow rose by 308.51 points, or 0.69 percent, closing at 45,014.04, while NASDAQ increased by 254.21 points, or 1.30 percent, to 19,735.12, and the S&P 500 gained 36.61 points, or 0.61 percent, finishing at 6,086.49.