CAPITAL MARKET NOT POSITIVELY RESPONDING TO SBY'S VICTORY: OBSERVER

Jakarta, July 10 (ANTARA) - The capital and money market does not immediately respond positively to the victory of Susilo Bambang Yudhoyono (SBY) in Wednesday's presidential elections, an observer said.

"It has no significant impact on the capital and money market in the country. Today, the capital market index even tended to drop," Farial Anwar, money market analyst, said here on Thursday.

He said that SBY's victory had raised the capital and money market confidence but it was not quick to respond to it positively. "I saw that the market would have a positive response as long as the presidential election runs smoothly and does not create conflicts or chaos," he said
So, in this case, no matter who wins the election it would not pose a problem to the capital and money market as long as it did not cause chaos such as what was happening in Iran.

He said that at the opening on Thursday the composite share index price at the Indonesian Stock Exhange (BEI) was down 0.62 percent or 12.412 percent to 2,076.121 points.

The LQ-45 index price also weakened 9.72 percent or down 3.141 points to 402.992.

Some 176,367,056 eligible voters in 33 provinces, including 1,133,738 Indonesians in 17 Indonesian embassies overseas were expected to have cast their votes on Wednesday in the country's second direct presidential elections.

More than 541,000 polling stations were erected throughout Indonesia. In Jakarta and some other regions, the presidential poll is implemented from 8 am to 1 pm Western Indonesian Standard Time (WIB).

Three presidential and vice presidential candidate pairs are competing in the election, namely former president Megawati Soekarnoputri and her running mate retired general Prabowo Subianto, incumbent president Susilo Bambang Yudhoyono and Boediono, and incumbent vice president M Jusuf Kalla and retired general Wiranto.