Indonesian equities declined 63 points, or 0.8%, to 7,526 in early Tuesday trading, marking a second consecutive session of losses as weakness in financial, industrial, and property stocks weighed on sentiment. Caution prevailed ahead of Bank Indonesia’s two-day policy meeting, which begins today, with markets widely expecting the central bank to leave interest rates unchanged for a seventh straight time to help support the rupiah. Even so, inflation risks persist amid the ongoing conflict in the Middle East, posing a threat to core price stability.
On Wall Street, U.S. stocks finished mostly lower overnight as renewed tensions between the United States and Iran raised doubts about the durability of a two-week ceasefire. Nonetheless, downside pressure in Jakarta was partially offset by optimism surrounding ongoing structural reforms and capital market development—particularly ETF product innovation and adjustments linked to MSCI indices—which are viewed as supportive of investor confidence.
Among the notable laggards were Dian Swastatika Sentosa (-12.2%), Transcoal Pacific (-9.3%), Barito Renewables Energy (-5.7%), Bank Rakyat Indonesia (-4.7%), and Alamtri Minerals Indonesia (-2.4%).
