Breaking: IHSG Surges 4.42% Nearing 7,300 Level

The Jakarta Composite Index (IHSG) surged 4.42% in trading on Wednesday (8/4/2026). The index rose to the level of 7,279.21, strengthening by 308 points.

A total of 101 stocks declined, 623 rose, and 95 remained unchanged. The transaction value reached Rp 22.59 trillion, involving 42.99 billion shares in 2.43 million transactions.

Market capitalisation also climbed to Rp 12,774 trillion.

According to Refinitiv data, all trading sectors strengthened today, with the sharpest gains recorded in the infrastructure, basic materials, and non-primary consumer sectors.

Blue-chip issuers today collectively drove the IHSG’s performance, with issuers from conglomerate groups also experiencing significant increases.

The main reason for the significant rise in the IHSG today was the US-Iran ceasefire in the Middle East, which provided some hope and certainty for investors. Additionally, FTSE’s policy to maintain Indonesia’s stock market rating also brought good news for investors.

Meanwhile, sectors that were previously investor favourites during the war, such as oil and gas and coal, weakened today.

BBCA shares became the main driver of the IHSG’s performance, contributing 23 points, followed by AMMN, BBRI, BRPT, and BRMS.

Meanwhile, the IHSG laggards today were AADI, MEDC, MEGA, SMMA, and APIC.

Asia-Pacific stock markets collectively soared on Wednesday (8/4/2026) after US President Donald Trump stated that an agreement had been reached to suspend plans to attack Iranian infrastructure for two weeks. This decision was made on the condition that Iran agrees to the full, immediate, and safe opening of the Strait of Hormuz.

According to CNBC, in his statement on Truth Social, Trump emphasised that the agreement depends on Iran’s commitment to opening this vital route. He described the move as an effort to ease geopolitical tensions that previously triggered global market concerns.

Iranian Foreign Minister Abbas Araghchi, via a post on platform X, stated that Iran’s armed forces would halt their defensive operations. He also added that a safe route in the Strait of Hormuz could be coordinated with the Iranian military over the next two weeks.

In response to the news, the price of US West Texas Intermediate crude oil plummeted more than 16% to US$94.23 per barrel. This sharp decline reflects the easing of concerns over global energy supply disruptions.

Significant strengthening occurred in Asian markets, with South Korea’s Kospi index jumping 5.3% and Kosdaq rising 3.4%. Leading stocks like Samsung Electronics and SK Hynix surged 7.25% and 9.2%, respectively.

In Japan, the Nikkei 225 index strengthened 4.5%, while the Topix rose 3.2%. Meanwhile, Australia’s S&P/ASX 200 index also climbed 2.7%, reflecting widespread positive sentiment in the region.

Hong Kong’s market is also expected to strengthen after the holiday, with Hang Seng futures at 25,233 compared to the previous close of 25,116.53. This indicates investor optimism regarding short-term geopolitical stability.

Thornburg Investments portfolio manager Josh Rubin stated that the decline in energy prices could pressure global inflation. This condition is seen as opening opportunities for central banks to consider easing interest rate policies.

In the United States, major index futures also strengthened, with the Dow Jones up 1.5%, S&P 500 adding 1.6%, and Nasdaq 100 gaining 1.7%. This positive sentiment aligns with the easing of geopolitical tensions and falling energy prices.

In the previous session, the S&P 500 rose slightly 0.08% to 6,616.85, and the Nasdaq Composite added 0.10% to 22,017.85. Meanwhile, the Dow Jones Industrial Average fell 0.18% or 85.42 points to 46,584.46.

In addition, global attention will focus on the release of the Federal Reserve’s FOMC Minutes. This document will provide deeper insight into the views of US central bank officials on the economic situation, inflation, and future policy direction.

The market will scrutinise every detail in the minutes, particularly regarding how the Fed assesses the impact of the surge in energy prices due to geopolitical conflict.

Furthermore, on the same day, the market will also monitor Personal Consumption Expenditures (PCE) inflation data released by the Bureau of Economic Analysis. This indicator is the Fed’s primary gauge for measuring inflation pressure.

In the latest release, for January 2026, the PCE price index rose 0.3% monthly and 2.8% annually.

Meanwhile, core PCE rose 0.4% monthly and 3.1% annually. This data is important because core PCE is considered to provide a cleaner picture of underlying inflation trends in the US, making it highly relevant for determining interest rate direction.

What will be announced is the February 2026 data. Market participants expect core PCE to grow around 3.0% annually, slightly lower than 3.1% in January. Nevertheless, the market will still look to see if price pressures are persisting longer amid the global energy cost surge.