BEI: IHSG Decline Today Purely Triggered by Iran–US Conflict
Indonesia’s stock market, the Indonesia Stock Exchange (BEI), said the weakness in the Composite Stock Price Index (IHSG) today was driven by escalating geopolitical tensions in the Middle East, not by domestic sentiment. Irvan Susandy, Director of Trading and Market Regulation at BEI, explained that the escalation of tensions in the Middle East has spurred concerns among market participants about disruptions to global supply chains, particularly in the energy sector.
‘This is the result of escalating geopolitical tensions in the Middle East that are heating up, and Iran’s closure of the Strait of Hormuz has raised concerns over an energy crisis. This is reflected in global oil prices rising,’ Irvan told reporters in Jakarta on Wednesday (4/3).
Investors’ fears grew after Iran was said to close the Strait of Hormuz, a strategic shipping route that forms a main conduit for global energy distribution. Closing the route could disrupt oil supplies worldwide and trigger energy price spikes.
Based on trades on Wednesday (4/3) at 11:11 WIB, IHSG fell 251.47 points or 3.17% to 7,688.29. Trading frequency reached 1,843,291 with a volume of 30.95 billion shares valued at Rp15.89 trillion. Of all stocks traded, 66 rose, 703 fell, and 43 were unchanged.
Irvan stressed that the IHSG’s decline was not isolated, but aligned with declines in stock markets across Asia. Some regional indices also fell sharply, with South Korea’s exchange briefly halting trading after an over-8% drop. ‘IHSG movement mirrors other regional indices that have also fallen sharply, such as Kospi, SET, Kosdaq, Nikkei, Taiwan TAIEX, and ASX; South Korea even experienced a trading halt after an 8% decline,’ he said.
The Nikkei index fell by 1,883.40 points or 3.35% to 54,395.69. The Shanghai Composite weakened by 59.11 points or 1.43% to 4,063.57.
Pressure on global stock markets is projected to persist while tensions in the Middle East remain unresolved. (Ant/E-3)
The IHSG on Wednesday 4 March 2026 opened weaker.