Indonesian Political, Business & Finance News

FTSE Russell Rebalancing Tomorrow, IDX Faces Slump as Big-Cap Stocks Are Removed

| | Source: KOMPAS Translated from Indonesian | Investment
FTSE Russell Rebalancing Tomorrow, IDX Faces Slump as Big-Cap Stocks Are Removed
Image: KOMPAS

JAKARTA, KOMPAS.com — Turmoil in the domestic capital market is projected to continue ahead of the announcement of the results of the reshaping or rebalancing of the June 2026 FTSE Russell index. The release is scheduled to be published on Saturday, 23 May 2026, at 05:00 WIB.

After six Indonesian stocks were previously expelled from the Morgan Stanley Capital International (MSCI) index, market participants now fear FTSE Russell could again exert pressure on the domestic stock market.

Indo Premier Securities notes that FTSE Russell will publish the preliminary list of additions and deletions for the June 2026 index rebalancing on 22 May 2026 after 18:00 US Eastern Time, or Saturday morning around 05:00 WIB.

“Practically, the market will not be able to react until the Monday opening. That gives investors the weekend to digest the results, whether good or bad. After MSCI brutally removed six stocks from the Standard Index last week, expectations are already low,” Indo Premier commented on Friday, 22 May 2026.

Moreover, FTSE has delayed a full review of the Indonesian market at least until September 2026.

Indo Premier Securities says the market could come under pressure again if the FTSE Russell rebalancing results are worse than expected, as happened previously with MSCI.

This condition is seen as potentially triggering negative sentiment at Monday’s trading opening (25 May 2026) next week, especially if more Indonesian stocks see weight reductions or are removed from the global index.

Retail investors are reminded to monitor FTSE Russell’s announcement to be published on Saturday morning WIB as the results are considered likely to determine the market’s direction at the start of next week.

“If the results are worse than expected, as with MSCI, Monday’s opening could be a difficult session again. If FTSE shows restraint, that could provide the first genuine positive catalyst the Indonesian market has seen in several weeks. In any case, set an alarm for Saturday morning,” Indo Premier added.

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