The Indonesia Composite Index (IHSG) on the Indonesia Stock Exchange\n(BEI) moved lower on Monday (8\/6\/2026), triggered by a combination of\ndomestic and global sentiments. The index opened 108.46 points or 1.94%\nlower at 5,486.31, and continued to decline by 222.29 points or 3.99% to\nthe 5,371.78 level by 09:15 WIB.<\/p>\n
\u201cKiwoom Research still suggests adopting a \u2018wait and see\u2019 approach\nbefore taking a buying position or averaging down,\u201d stated Liza Camelia\nSuryanata, Head of Research at Kiwoom Sekuritas, in her analysis in\nJakarta on Monday.<\/p>\n
Internationally, the primary market theme is a shift in focus from\nhopes of interest rate cuts towards the risk of additional rate hikes by\nthe US Federal Reserve. According to CME FedWatch, the market is now\nfully pricing in one 25 bps interest rate hike before the end of the\nyear, and is even beginning to factor in the possibility of further\nincreases.<\/p>\n
US Nonfarm Payrolls for May 2026 increased by 172,000 jobs, far\nexceeding the expectation of 85,000, while the unemployment rate\nremained at 4.3%. Strong economic data has become bad news for the stock\nmarket, as it reinforces the belief that inflation may persist longer.\n\u201cThis could lead Fed Chairman Kevin Warsh to potentially adopt a more\nhawkish stance than current market expectations,\u201d said Liza.<\/p>\n
This week, market participants will focus on the developments in US\nnegotiations with Iran and Israel\u2019s response following Iran\u2019s missile\nattack on the Ramat David airbase over the weekend. \u201cDevelopments\nregarding the Strait of Hormuz will be a determining factor for oil\nprices, global inflation, and interest rate expectations,\u201d Liza\nnoted.<\/p>\n
Additionally, investors will closely monitor the communication tone\nof Kevin Warsh and other Fed officials, following the very strong labour\ndata that has altered market expectations regarding the direction of\nmonetary policy.<\/p>\n
Meanwhile, Chinese President Xi Jinping will conduct a state visit to\nNorth Korea on 8-9 June 2026, at the invitation of Kim Jong Un. This\nmarks Xi\u2019s first visit to Pyongyang since 2019 and the first by a\nChinese President in seven years. This relatively rare visit by Xi,\nconsidering his increasingly limited foreign travel in recent years, is\nviewed as an effort by Beijing to maintain its strategic influence over\nNorth Korea and anticipate changes in the balance of power in East\nAsia.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/idx-composite-opens-4-lower-investors-advised-to-wait-and-see-before-averaging-down-1780891250", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }