Jakarta, CNBC Indonesia \u2014 The Jakarta Composite Index (JCI) extended\nits decline in late Thursday trading, approaching the close. It stood at\n5,121.97, down 160.34 points, or 3.04%.<\/p>\n
According to Refinitiv data, PT Bank Central Asia Tbk (BBCA) fell\n5.7% to Rp4,970 per share, giving it a market capitalisation of Rp606.5\ntrillion. The private bank\u2019s shares were the biggest drag on the index\non the day.<\/p>\n
The JCI had opened higher at 5,305.20 and briefly reached a peak of\n5,320.90. However, it soon reversed course and fell sharply during\nroughly the first hour of trading, dropping below 5,200 before 10 am\nWestern Indonesian Time (WIB).<\/p>\n
In the afternoon session, the index moved sideways between 5,140 and\n5,180 before coming under renewed pressure at around 2 pm. The day\u2019s low\nwas 5,118.28, close to the index\u2019s level at the time of reporting.<\/p>\n
Refinitiv data showed the JCI was weighed down by several shares,\nincluding PT Bank Central Asia Tbk (BBCA), PT Bank Rakyat Indonesia\n(Persero) Tbk (BBRI), PT Telkom Indonesia (Persero) Tbk (TLKM), PT Astra\nInternational Tbk (ASII) and PT Barito Renewables Energy Tbk (BREN).<\/p>\n
Among the shares that helped limit the index\u2019s decline were PT Dian\nSwastatika Sentosa Tbk (DSSA), PT Cisarua Mountain Dairy Tbk (CMRY), PT\nTemas Tbk (TMAS), PT Sawit Sumbermas Sarana Tbk (SSMS) and PT Bali\nTowerindo Sentra Tbk (BALI).<\/p>\n
Trading volume stood at 173.2 million lots, with transactions worth\nRp7,397.56 billion.<\/p>\n
Pressure on Indonesia\u2019s financial markets had been expected to ease\nafter the Federal Reserve held interest rates. However, the release of\nUS PCE inflation data and developments in the war could weigh on shares\nand the rupiah. Rising yields on Indonesian government bonds (SBN) were\nalso a focus for the market.<\/p>\n
The day\u2019s key market factors included:<\/p>\n
The Federal Reserve (the Fed) kept its benchmark rate at 3.75%\u20134.00%,\nbut Thursday\u2019s decision (29 October 2026) was not unanimous. Two\nofficials, Lisa Cook and Beth Hammack, supported a 25-basis-point\nincrease.<\/p>\n
The Fed said inflation remained high and left the door open to\nfurther rate adjustments. Chair Kevin Warsh declined to signal the\nlikely direction of the next policy move, while reaffirming that the\ncentral bank was working to bring inflation back to its 2% target.<\/p>\n
Warsh also said the US economy was strengthening, with first-half\n2026 growth revised up to 2.4%. However, high interest rates continued\nto raise borrowing costs and affect investment, including construction\nof artificial intelligence (AI) infrastructure.<\/p>\n
Markets put the probability of a rate increase in December at about\n80%. The yield on 10-year US Treasuries rose to 5.042% after the\ndecision was announced.<\/p>\n
The US was due to release September Personal Consumption Expenditures\n(PCE) inflation data at 7.30 pm WIB on Thursday (29 October).<\/p>\n
In August 2026, PCE inflation stood at 3.4% year on year, while core\ninflation was 3.0% year on year.<\/p>\n
Core PCE inflation, which excludes food and energy, was forecast to\nrise by 0.3% month on month in September 2026, up from 0.2% in August.\nThe annual rate was projected to increase to 3.1% from 3.0%.<\/p>\n
The data are significant because PCE is one of the key inflation\nmeasures the Fed uses to guide monetary policy.<\/p>\n
The US was also due to announce jobless claims data for the week\nending 24 October 2026.<\/p>\n
Initial US jobless claims fell by 6,000 to 194,000 in the week ending\n17 October 2026, their lowest level since mid-July and below the market\nexpectation of 200,000, according to the US Department of Labour.<\/p>\n
The decline indicated that the labour market remained solid amid\neconomic uncertainty. Strong corporate earnings and resilient domestic\ndemand had helped keep a wave of redundancies at bay.<\/p>\n
However, high energy costs stemming from the US-Israel war with Iran,\nuncertainty over Federal Reserve interest rates and trade policy were\nweighing on companies\u2019 hiring decisions.<\/p>\n
The European Central Bank (ECB) was due to announce its decision at\n8.15 pm WIB, followed by a press conference at 8.45 pm. The consensus\nforecast was for the main refinancing rate to remain at 2.65% and the\ndeposit facility rate at 2.50%.<\/p>\n
Attention was focused on the ECB\u2019s response to inflation risks and\nslowing growth. Any decision to hold rates needed to be considered\nalongside the bank\u2019s communication, particularly its views on possible\nfurther tightening and energy-cost pressures.<\/p>\n
For global markets, a change in the ECB\u2019s tone could affect the euro,\nEuropean bonds and the dollar\u2019s relative performance. As the\nannouncement was close in time to key US data releases, investors needed\nto assess the combined implications rather than view either development\nin isolation.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/breaking-jci-slumps-3-bca-shares-fall-5-heres-why-1793263866", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }