Breaking News! IDX Continues Correction, Plunges 2% in Session 2
Jakarta, CNBC Indonesia — The Composite Stock Price Index (IHSG) corrected more deeply in session 2 today, Tuesday (12/5/2026).
At 14:03 WIB, the IHSG fell 138.18 points or 2% to the level of 6,767.44. A total of 558 stocks declined, 159 rose, and 242 were unchanged.
The transaction value reached Rp 9.4 trillion, involving 21.85 billion shares in 1.76 million transactions. Market capitalisation also declined to Rp 12,016 trillion.
At the end of session 1, sectorally, the technology sector was the biggest drag with a correction of 5.07%, followed by utilities -2.59% and health weakening -2.09%.
The performance of Indonesian stocks aligned with movements in the Asia-Pacific stock exchanges, where the majority of benchmark indices moved in the red zone. However, the IHSG’s performance was recorded as one of the worst today, with only the South Korean KOSPI index posting a larger decline than the IHSG, exceeding 3%.
European markets are also expected to open in the red zone, with several negative sentiments continuing to loom.
Domestically, market participants tended to carry out selling actions and a wait-and-see stance ahead of the MSCI review announcement scheduled for today. The market is concerned that Indonesia may again experience a reduction in weighting in the global MSCI index, which could trigger an outflow of foreign funds.
Ahead of that announcement, regulators to market participants unanimously assess that Indonesia’s capital market reforms do indeed have the potential to trigger short-term pressure, but are believed to have a positive impact in the long term.
Otoritas Jasa Keuangan (OJK) Commissioner Chairman Friderica Widyasari Dewi said her side is still awaiting the MSCI announcement results, while emphasising that the capital market reform steps taken by the regulator are part of efforts to strengthen market integrity.
“Even if there is short-term adjustment, we see this as short-term pain. But Insya Allah long-term gain,” said Friderica at the Indonesia Stock Exchange (BEI) building, Monday (11/5/2026).
The Indonesia Stock Exchange acknowledged the potential for a decline in Indonesia’s weighting in the MSCI in the short term if no new stocks enter the index.
“If that is done by MSCI and no new stocks enter the MSCI, in the short term Indonesia’s weighting may decline. But that is short-term pain for long-term gain,” said Jeffrey.
BEI emphasised that capital market reforms will continue, including encouraging an increase in issuers’ free float to meet global standards.
Meanwhile, foreign funds continue to flow out of the domestic capital market. Throughout session 1 today, Tuesday (12/5/2026), foreigners recorded a net sell of Rp 653.4 billion across all markets.