(Corrects headline to say Manulife cuts companies’ earnings growth view from “earnings growth”) Manulife Asset Management Indonesia lowered its full-year earnings growth forecast for Indonesian companies to 14 percent year-on-year from 17 percent.
Earnings growth is expected to reach 14.5 percent next year, said Alvin Pattisahusiwa, Manulife’s investment director, in a press conference on Thursday.
Pattisahusiwa expects the rupiah to be at 10,500-11,000 per dollar by the end of this year, which is seen as an attractive currency level for foreigners to buy Indonesian assets.
The Indonesian stock market has been hit by foreign selling and a weakening rupiah. The market has lost most of the 21 percent year-to-date growth in the last two months and is now up only 9 percent.
The Indonesian benchmark index was up 0.47 percent, while the blue chips sub index was up 0.31 percent.
1533 (0833 GMT) (Reporting by Andjarsari Paramaditha, Editing by Anand Basu)