Breaking: IHSG Plummets 1% After Rupiah Hits Lowest Level

Jakarta, CNBC Indonesia - The Composite Stock Price Index (IHSG) plunged more than 1% after opening stronger at the start of trading today, Thursday (23/4/2026). The index fell sharply by 82.97 points or 1.10% to the level of 7,458.64.

248 stocks rose, 405 fell, and 160 remained unchanged. The value of morning transactions reached Rp6.96 trillion, involving 20.43 billion shares in 1.17 million transactions. Market capitalisation also declined to Rp13,333 trillion.

The majority of trading sectors weakened, led by the infrastructure and energy sectors. Shares of Prajogo Pangestu’s business conglomerates were recorded as collapsing en masse in today’s trading. BREN and DSSA shares, impacted by the latest MSCI announcement, continue to be the main burden on the IHSG.

The IHSG’s collapse occurred alongside the deepening weakening of the rupiah exchange rate against the US dollar on Thursday (23/4/2026) trading.

Citing Refinitiv data, as of 09:32 WIB, the Garuda currency was recorded weakening by 0.79% to the level of Rp17,305/US.Thislevelalsomarkstherupiah′sweakestpositioneveronanintradaybasis.Moreover, thisweakeningalsoindicatesthattherupiahhasbreachedanewpsychologicallevelatRp17, 300/US.

This movement shows that pressure on the rupiah continues since the start of trading. Previously, the rupiah had opened weakening by 0.23% to Rp17,210/US$. This means the Garuda currency’s weakening deepened further just minutes after the market opened.

Financial market players need to monitor several sentiments driving today’s financial markets. Record highs on Wall Street as well as the Japanese and South Korean stock exchanges are expected to serve as positive catalysts for the IHSG today. However, the strengthening US dollar index and oil prices could pressure the rupiah.

Oil prices surged again after Iran blockaded Hormuz once more. At the close of trading on Wednesday (22/4/2026), Brent crude oil prices soared 3.5% to US$101.91 per barrel, the highest in the last two weeks. This also marks the first time Brent has touched the US$100 level again since 8 April 2026.

WTI oil prices rose 1% to US$92.96 per barrel.

The rise in oil prices contributed to a surge in the US dollar price. The dollar index soared to 98.59, its highest position in the last 12 days.

The dollar index surge indicates that investors are hunting for dollars and selling non-dollar denominated investment instruments. This situation could trigger outflows from Emerging Markets, thus pressuring the rupiah.

Oil prices surged again after Iran blockaded Hormuz once more. At the close of trading on Wednesday (22/4/2026).

Domestically, Bank Indonesia (BI) again decided to maintain the BI Rate benchmark interest rate at 4.75% in April 2026. This is accompanied by holding the deposit facility interest rate at 3.75% and the lending facility interest rate at 5.5% in April 2026.

“The Board of Governors Meeting of Bank Indonesia on 21 and 22 April decided to maintain the BI Rate at 4.75%,” said BI Governor Perry Warjiyo in an online press conference on Wednesday (22/4/2026).

Perry explained that this decision is consistent with efforts to enhance the effectiveness of the strategy for adjusting the interest rate structure of monetary operation instruments in strengthening rupiah exchange rate stabilisation from the impact of worsening global economic conditions due to the war in the Middle East.

Meanwhile, the Japanese and South Korean stock markets reached new record highs in today’s trading, Thursday (23/4/2026), following the US stock rise last night after US President Donald Trump extended the ceasefire, which improved investor sentiment, while optimistic earnings reports also boosted sentiment.

“Based on the fact that the Iranian Government is very divided, it is not surprising and, at the request of Field Marshal Asim Munir and Prime Minister Shehbaz Sharif from Pakistan, we have been asked to delay our attack on Iran until their leaders and representatives can present a unified proposal,” Trump said in a post on Truth Social.

The ceasefire will be extended until Tehran submits a proposal or discussions conclude, and the US military will continue the blockade of Iranian ports, according to Trump.

However, the duration remains uncertain. Iranian state media reported on Wednesday that Tehran’s negotiators would not attend talks with the US, calling it a “waste of time.” The lack of commitment from Iran reportedly prompted Vice President JD Vance to postpone his trip to join peace talks. Meanwhile, the Iranian navy also stated that they had seized two container ships in the Strait of Hormuz.

West Texas Intermediate crude oil prices rose 0.22% to $93.2 per barrel at 20:34 ET. Brent crude oil rose 0.39% to $102.25 per barrel.

Japan’s Nikkei 225 index reached an intraday record high of 60,013.98, supported by strong gains in technology stocks. Softbank Group Corp rose more than 6% while Mitsubishi Industries rose 1.86%.

South Korea’s Kospi index also hit an intraday record high of 6,538.72, up 1.75%. The Kosdaq index for small-cap stocks rose 0.58%. The country’s economy grew more than expected in the first three months of this year, recording the fastest growth since the third quarter of 2020.

The 1.7% growth from January to March compared to the previous quarter exceeded Reuters’ estimate of 1.0% and recovered from a 0.2% contraction in the previous quarter.

Samsung Electronics shares hit a new intraday record at 227,000. Investors are also monitoring labour developments, as the company union estimates more than 30,000 workers will attend a demonstration in South Korea on Thursday ahead of next month’s planned strike.

Australia’s S&P/ASX 200 index fluctuated, up 0.32%.

Hong Kong’s Hang Seng index futures were at 26,169, compared to the close