STOCKS NEWS INDONESIA-Index falls on regional sentiment, weak trade data

Mon Jun 3, 2013 4:10am EDT

Indonesian shares fell 1.87 percent to slide past the 5,000-benchmark on Monday, due to a regional decline and weak April trade data.

The Jakarta Composite Index was down at 4,971.56, dragged by agriculture and property sectors that fell more than 3 percent each.

Investors took profits from the recent Asian share rallies on uncertainty over how much longer the current U.S. stimulus would continue. Nikkei shares fell 3.72 percent.

Indonesia's trade picture reflects continued weakness after the statistics bureau reported a trade deficit of $1.61 billion for April. A Reuters poll had forecast a surplus of $50 million to follow up March's revised $137 million surplus, which came after five straight months of trade deficits.

"The sharp increase in trade deficit and recently under pressure rupiah, on the other side, show urgency to address fuel subsidy policy. Cheap subsidized fuel price triggers higher consumption, which is reflected in oil and gas trade balance that has been consistently posting deficit since October," said Aldian Taloputra, an economist at Jakarta-based Mandiri Sekuritas.

Shares of real estate developer PT Bumi Serpong Damai dropped 9.55 percent to 1,990 rupiah. Jakarta's blue chip index slid 1.7 percent.

1501 (0801 GMT) (Reporting by Andjarsari Paramaditha in Jakarta, Editing by Jijo Jacob)

***************************************************************1 3:42 STOCKS NEWS INDONESIA-Citra Marga surges on Merpati stake buy talk Toll road operator PT Citra Marga Nusaphala Persada, soared to a record high on Monday, following talk it was planning to buy a stake in PT Merpati Nusantara Airlines.

Citra Marga in a statement to the stock exchange clarified it had received an offer from the former CEO of Merpati Nusantara Airlines to buy a stake in the latter.

However, Citra added, such a deal would be complicated and not easy to execute and would have to be closely studied with regard to structure, mechanism and payment methods.

Merpati Nusantara is struggling with a 6 trillion rupiah ($612.56 million) debt, as the state-controlled airline grapples with extremely tight operating margins in a highly competitive Indonesian market.

Citra Marga shares were up 24.21 percent at 2,950 rupiah. The infrastructure index rose 2.02 percent while the broader Jakarta Composite Index was down 1.07 percent.

1315 (0615 GMT)

(Reporting by Andjarsari Paramaditha in Jakarta; Editing by Sunil Nair)

*************************************************************** 12:25 STOCKS NEWS INDONESIA-Hero Supermarket plans $304 mln rights issue

Indonesian retailer PT Hero Supermarket plans a 2.98 trillion rupiah ($304.24 million) rights issue by the end of June, the company said on Monday. The supermarket chain is offering 889.4 million shares, or 21.3 percent from its enlarged stake, at 3,350 rupiah per share. Dairy Farm International Holdings Ltd will be the standby buyer of the rights issue. In March 2012, Hero won rights to franchise Swedish furniture giant IKEA stores in Indonesia to tap booming domestic consumption from an emerging middle class in Southeast Asia's biggest economy The supermarket operator share was down 0.63 percent at 3,975 rupiah, while the broader Jakarta Composite Index was down 1.07 percent. 1210 (0510 GMT) ($1 = 9,795 rupiah) (Reporting by Andjarsari Paramaditha,; Editing by Prateek Chatterjee)