Indonesian Stocks Flying Sky High

For the past few months (notably this past month), stock prices had soared to record highs, (so did the JSX Composite Index). This is an interesting time to invest, as predictions are being conceived that stocks are climbing higher up still. I speculate the phenomenon is caused by firstly; liquid cash being poured into the country by foreign investors seeking a high profit margin in emerging markets. Secondly, mining sectors are growing exponentially in production thus setting record high operating incomes during the past year. Thirdly, metal prices continue to escalate. For instance, tin, which has gone up about 30% in price since last year, had caused so much hype, that goverment-run businesses are earning 3-figure profit margins in 2006 (PT Timah Tbk: TINS.JK , gaining an increase of 206% in net profit last year alone, compared to 2005). This will inevitably lead to better confidence on the market this year. Notwithstanding, other sectors such as finance & banking, agro-industry, infrastructure have all their share of good riddance on the bull market too. The indications are clear, the stocks are flying, the JCI is the third best performer in all Asian markets (with Shanghai being first, and Hong Kong second). So why not invest now !?