Indonesian equities rose 25 points, or 0.4%, to 6,325 in Friday’s morning session, partially recovering from the sharp decline a day earlier, with technology, cyclical, and energy stocks leading the gains. Sentiment improved after U.S. Treasury Secretary Scott Bessent confirmed that Washington and Beijing had agreed to extend their trade truce through January 10, 2027. President Trump is hosting a state dinner for Chinese leader Xi Jinping, who is making his first visit to Washington in more than a decade, with both leaders highlighting artificial intelligence as a central topic of discussion.
Notable early movers included Sumber Alfaria Trijaya (up 2.3%), Indo Tambangraya Megah (up 2.0%), and Surya Citra Media (up 1.7%). Despite the day’s rebound, local markets remain on course for a third consecutive weekly loss, down nearly 2% so far, weighed by concerns over elevated oil prices and their implications for the fiscal outlook. Investor caution has also intensified ahead of next week’s releases of August trade figures and September inflation data. Annual inflation accelerated to 3.19% in August, driven by higher food prices linked to El Niño-related disruptions.
