Indonesian stocks fall on rupiah, foreign outflow

JAKARTA Thu Dec 5, 2013 4:11am EST

JAKARTA Dec 5 (Reuters) - Indonesian shares fell 0.6 percent on Thursday as sentiment on rupiah became more bearish on concerns over looming tapering of U.S. Federal Reserve's quantitative easing programme, coupled with foreign selling in blue chip stocks.

Bearish bets on the Indonesian rupiah rose to the largest level since late August, according to a Reuters poll. The rupiah weakened past 12,000 per dollar on Thursday to hit a near five-year low on increasing dollar demand from local companies.

The blue-chip index slid 0.7 percent, led by banking stocks which were down 1.2 percent.

Shares of state-owned firms Telkom Indonesia and Bank Negara Indonesia had slumped more than 3 percent, with foreigners selling a net 238 million rupiah ($19,900) in both stocks.

($1 = 11,985 rupiah) (Reporting by Andjarsari Paramaditha; Editing by Anand Basu)

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