FX.co ★ IDX Rises After Two-Day Pullback

In the early hours of Monday's trading, Indonesia’s IDX Composite climbed by 30 points, or 0.4%, reaching 8,450. This uptick breaks a two-session losing streak, as most sectors showed gains, notably in communications, consumer durables, and retail. The market sentiment was bolstered by a significant rise in U.S. futures, following Wall Street's advance on Friday amid increasing optimism for a potential rate cut in December. Domestically, Bank Indonesia held its benchmark rate steady at 4.75% as anticipated, citing controlled inflation and robust domestic demand as key factors. This stability in the Indonesian market was further supported by consistent foreign investment in banks and select cyclical stocks, despite a broader decline in regional markets. Nevertheless, the market's strength faced constraints due to growing domestic fiscal challenges, with October seeing a surge in spending outstripping revenue, resulting in a deficit of IDR 479.7 trillion. Among the standout performers in early trading were major players such as Barito Renewables Energy with a 1.8% gain, Telkom Indonesia at 2.0%, Amman Mineral International rising by 1.5%, and XLSmart Telecom up by 1.1%.