BEI confirms IHSG correction amid escalation of Iran–US–Israel conflict

The IHSG movement tracked other regional indices that also fell sharply, such as Kospi, SET, Kosdaq, Nikkei, Taiwan TAIEX, and ASX. Jakarta (ANTARA) - Director of Trading and Members’ Market Regulation at PT Bursa Efek Indonesia (BEI), Irvan Susandy, confirmed that the decline in the Indeks Harga Saham Gabungan (IHSG) was a result of the escalation of the conflict between Iran and the United States (US) and Israel.

He noted market participants’ concerns about threats to global supply chains, especially energy, due to Iran’s closure of the Hormuz Strait.

“This is a consequence of the escalating geopolitical tensions in the Middle East that are intensifying, and Iran’s closure of the Hormuz Strait has raised fears of an energy crisis. This is already reflected in the rising world oil prices,” Irvan told reporters in Jakarta on Wednesday.

Irvan stressed that the IHSG correction aligned with the weakness of Asian equity markets, even though Korea’s stock exchange briefly halted trading after falling more than 8 percent during the day’s session.

“The IHSG movement mirrors the regional indices that also fell sharply, such as Kospi, SET, Kosdaq, Nikkei, Taiwan TAIEX, ASX, and Korea’s exchange briefly halted trading after a fall of more than 8 percent,” Irvan said.

Trading data on Wednesday (4 March) at 11:11 WIB show the IHSG down 251.47 points or 3.17% to 7,688.29.

Trading frequency reached 1,843,291 transactions with 30.95 billion shares traded worth Rp15.89 trillion. A total of 66 stocks rose, 703 fell, and 43 were unchanged in value.

Meanwhile, regional Asian stock markets at the same time included the Nikkei down 1,883.40 points or 3.35% to 54,395.69, the Shanghai Index down 59.11 points or 1.43% to 4,063.57, the Kospi down 417.32 points or 7.21% to 25,052.00, the Hang Seng down 717.01 points or 2.78% to 25,051.06, and the Straits Times down 112.50 points or 2.29% to 4,804.14.