Indonesian equities fell 94 points, or 1.8%, to 5,188 in early Thursday trade, erasing the modest gains recorded in the previous session. Risk sentiment deteriorated after futures on the Nasdaq 100 and S&P 500 declined in response to disappointing earnings from Alphabet, which intensified worries over the outlook for AI-related investment.
At the same time, the U.S. Federal Reserve left interest rates unchanged, but its guidance for fewer policy meetings next year led traders to reassess the likely path of monetary policy. Domestically, student protests across several major cities heightened perceived political risk, while Brent crude prices above USD 100 per barrel added to concerns over fiscal pressures.
Continued weakness in the rupiah drove further foreign outflows, compounding downside pressure on the market. Investors also turned more cautious ahead of key data releases next week, particularly October inflation, after the headline rate quickened to 3.28% in September.
Losses were broad-based, with infrastructure, consumer cyclicals, property, and financials among the worst-hit sectors. Notable laggards included Indosat (-6.7%), Bakrie & Brothers (-6.4%), Energi Mega Persada (-5.6%), and Sarana Menara Nusantara (-4.6%).
