Indonesia - Market Factors to watch - July 6

JAKARTA, July 6 (Reuters) - Following is a list of events in
Indonesia as well as business highlights from newspapers and
factors that may influence financial markets.

PRESS DIGEST (Reuters has not confirmed these stories)
KEPODANG-TAMBAK LORONG GAS PIPELINE CONSTRUCTION TO START IN
JULY
Indonesia's oil and gas watchdog BP Migas says a 200
kilometre gas pipeline construction from Kepodang to Tambak
Lorok in Central Java will start in July, said committee member
Qoyum Tjandranegara. It will take 22 months to complete the
project. (Bisnis Indonesia p.6, Kontan p.14 & Investor Daily
p.9)

BHAKTI CAPITAL TO BUY COMERCIAL BANK IN SEPT
PT Bhakti Capital Indonesia, a unit of investment
company PT Bhakti Investama, plans to buy a commercial
bank in September, said Purnadi Harjono, Bhakti Investama's
director, as the firm aims to expand into banking sector.
(Bisnis Indonesia p.m1)

JABABEKA TO ISSUE GLOBAL BOND WORTH $300 MLN
Industrial estate developer PT Kawasan Industri Jababeka
won shareholders' approval to issue a $300 million
global bond with 5 years tenure this month, aiming to pay debt
and finance its capital expenditure, said corporate secretary
Muljadi Suganda. (Bisnis Indonesia p.m2, Kontan p.4 & Investor
Daily p.1)

WIJAYA KARYA TO BUILD CONCRETE PLANT IN IRAQ
The country's biggest construction firm, PT Wijaya Karya
, plans to develop a concrete plant in Iraq to boost
revenues from overseas expansion which currently contributes
only 5 percent of firm's total revenues, said corporate
secretary Natal Argawan Pardede. (Bisnis Indonesia p.m3)

TWENTY INVESTORS TO DEVELOP NEW INDUSTRIAL ESTATES-ASSOC
Indonesian Industrial Estate Association (HKI) said at least
20 investors plan to open new industrial estates in Palu,
Balikpapan, Bangka Belitung and Riau on strong demand, said its
Chairman Hendra Lesmana. He added demand for industrial estates
was growing by 10-20 percent each year or at 300 hectares,
mainly boosted by foreign investment in the past two years.
(Bisnis Indonesia p.i1)

HEAVY EQUIPMENT SALES IN H1 UP 45 PCT Y/Y-ASSOC
Indonesia's Heavy Equipment Manufacturer Association
(Hinabi) reported sales rose 45 percent in the first half
year-on-year to 5,004 units, said its Chairman Pratjojo Dewo.
The association lowered 2012 sales target to 8,500 units from
10,000 units citing global economic slowdown. (Bisnis Indonesia
p.i8)

PTPN XII EYES LAND ACQUSITION IN JEMBER AND BANYUWANGI
State plantation firm PT Perkebunan Nusantara XII plans to
acquire 2,000 hectares of land in Jember and Banyuwangi, East
Java, said director Sugeng Budi Rahardjo, as the firm expects to
complete the plan by end of July. (Kontan p.13)

XL TO PAY DEBT WORTH 900 BLN RPH IN DEC
Indonesia's third biggest telecom firm PT XL Axiata
, plans to pay 900 billions rupiah of debt due in
December and currently seeks bank loan of 630-720 billion rupiah
to finance the plan, said Mohamed Adlan bin Ahmad Tajudin, the
company's finance director. (Investor Daily p.13)

GOVT SPENDING IN H1 REACHS 629.4 TRLN RPH
The government recorded state spending until end of June at
629.4 trillion rupiah, or 40.7 percent of the total budget, with
the largest spending in energy subsidy that reached 202.4
trillion rupiah, said finance minister Agus Martowardojo.
(Investor Daily p.20)

MARKET SNAPSHOT
* Jakarta composite index dropped 0.15 percent on
Thursday while most Southeast Asian stock markets ended higher
after a rangebound session ahead of the European Central Bank's
policy decision, with Singapore led by gains in developers
supported by strong property demand.
* Asian shares paused on Friday, pressured by falls
overnight in global shares as sentiment remained cautious
despite new stimulus steps taken by three major central banks,
with focus now pinned to the U.S. jobs data due later in the
day.
* U.S. stocks edged down on Thursday as economic stimulus
measures by major central banks failed to excite investors
before a U.S. jobs report expected to show tepid growth.
* Malaysian crude palm oil futures rose to the highest in
more than five weeks on Thursday, as investors anticipated a
dry-weather rally would continue after U.S. markets reopened
from a holiday.
* U.S. corn surged 5 percent on Thursday to its highest
price in over a year and soybeans jumped to within sight of
their record high as new forecasts offered no sign of rain
relief for withering crops.
* Brent crude oil futures rose on Thursday, ending at a
five-week high on worries about tighter supplies following a
lockout of striking oil workers in Norway and hopes that some
policy-easing steps by some central banks would improve oil
demand.

------------------ MARKET SNAPSHOT @ 0009 GMT ------------
INSTRUMENT LAST PCT CHG NET CHG
S&P 500 1367.58 -0.47% -6.440
USD/JPY 79.88 -0.04% -0.030
10-YR US TSY YLD 1.5986 -- 0.000
SPOT GOLD 1607.05 0.17% 2.720
US CRUDE 87 -0.25% -0.220
DOW JONES 12896.67 -0.36% -47.15
ASIA ADRS 119.76 -1.10% -1.33
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LATEST STORIES ON:
* Indonesia stocks........
* Southeast Asian stocks..
* Asian stocks preview....
* Asian currencies........
* U.S. stocks.............
* Oil prices..............
* Global markets..........
* Malaysian crude palm oil
* Indonesian palm oil.....
* Global economy..........
* Key Asian companies.....
* Key currencies..........
* Major deals of interest.
($1 = 9,157.5 rupiah)

(Reporting by Rin Hindryati, Writing by Andjarsari Paramaditha;
Editing by Gopakumar Warrier)