Effects of Global Inflation Risk: MSCI Issues on the Stock Market and Rupiah

Indonesia’s financial markets are feeling the impact of global geopolitical and economic turmoil, alongside rising world oil prices and a weakening Rupiah. Although pressure from crude oil prices has begun to ease, investor confidence in the Indonesian market remains low, reflected in persistent net foreign outflows from both the equity and government bond (SBN) markets. What are the challenges and opportunities for the Indonesian financial market in the face of various domestic and external sentiments? For a complete discussion, watch the interview with RHB Sekuritas Indonesia Director Michael W. Setjoadi on Power Lunch, CNBC Indonesia.