First-Half Earnings Season to Catalyse JCI Movement This Week
JAKARTA – The first-half 2026 financial reporting season for listed companies is expected to be one of the main catalysts for the movement of the Jakarta Composite Index (IHSG) during the week of 3-7 August 2026. Amid these sentiments, investors will also scrutinise a number of domestic and global economic data that could influence the direction of the market.
Equity Analyst at PT Indo Premier Sekuritas, Hari Rachmansyah, said the IHSG rose 0.64 percent over the past week and closed at the 6,236 level. However, foreign investors still recorded a net sell of Rp 1.4 trillion in the regular market over the week.
According to Hari, pressure emerged early in the week after news of the Bank Indonesia Governor’s resignation triggered uncertainty over the direction of monetary policy. Market sentiment subsequently improved after the Federal Reserve decided to keep its benchmark interest rate unchanged, in line with expectations.
“The combination of easing global concerns and support from domestic investors succeeded in keeping the IHSG in the green zone, although foreign fund outflows continued,” Hari said in Jakarta on Monday (3/8/2026).
He explained that, from the global side, investors’ attention will be focused on the release of the FOMC Minutes, which are expected to provide clues on the prospects of a US interest rate cut. In addition, the market will also watch the S&P Global Services PMI, Trade Balance, and Jobless Claims data as the latest indicators of the US economic condition.
“On the corporate side, the start of the financial reporting season for major companies such as PepsiCo will also serve as an early barometer of corporate performance amid the economic slowdown,” he said.
Furthermore, the market will monitor developments in world oil prices amid the geopolitical situation in the Middle East, the smoothness of distribution through the Strait of Hormuz, and OPEC+ production policy. “That combination of sentiments is expected to determine the direction of Wall Street, the bond market, the US dollar exchange rate, and fund flows to emerging markets, including Indonesia,” he said.
On the domestic front, investors will be watching the release of Indonesia’s foreign exchange reserves, the Consumer Confidence Index (IKK), and retail sales data to gauge the strength of domestic consumption and the stability of the external sector. The market will also monitor the movement of the rupiah exchange rate, foreign fund flows, and further statements from Bank Indonesia regarding rupiah stability and interest rate prospects.
“On the corporate side, investors’ attention will also be on the release of listed companies’ first-half 2026 financial reports, which have begun and could potentially become a catalyst for the movement of sectoral stocks. The combination of economic data, exchange rate stability, foreign capital flows, and corporate performance is expected to be the main factor determining the direction of the IHSG this week,” he explained.
Fundamentally, Hari believes the IHSG’s prospects remain supported by domestic economic stability, expectations of more accommodative global interest rates, and the first-half 2026 corporate reporting season. However, investors still need to be wary of the persistence of foreign fund flows, rupiah exchange rate movements, and global sentiment that could increase market volatility.
From a technical perspective, the IHSG is currently in a consolidation phase, testing the 50-day exponential moving average (EMA) area around 6,250. “If the index manages to break through and hold above that level, supported by increased transaction volume and the return of foreign investors’ buying activity, the opportunity for a strengthening towards the 6,400 area will become increasingly open,” he said.
Conversely, if it fails to break through the EMA 50 area, the IHSG is expected to continue moving sideways within the 6,150-6,250 range.
“Therefore, a strategy that could be considered is gradual accumulation of stocks with sound fundamentals whilst waiting for confirmation of the IHSG’s direction of movement above that resistance level,” he said.