IHSG and Rupiah Plunge Ahead of Eid al-Adha Holiday

The Composite Stock Price Index (IHSG) plunged to 6,130.19 at the close of trading ahead of Eid al-Adha on Tuesday, 26 May 2026. The rupiah also weakened by 52 points against the US dollar.

Citing the Indonesia Stock Exchange website, the index fell 1.23% compared to the previous close. Trading value reached IDR 18.09 trillion, with 1.96 million trades and a volume of 24.88 billion shares.

Spot rupiah closed down 52 points at 17,795 per US dollar. Currency analyst Ibrahim Assuaibi predicted the rupiah would fluctuate tomorrow but close weaker, “in the range of IDR 17,790-17,850 per US dollar,” he said in his routine analysis on 26 May 2026.

The rupiah’s weakening coincided with the strengthening of the US dollar index. Global factors influencing the market were dominated by ongoing conflicts in the Middle East. The US reportedly launched new strikes against missile launch sites and mine-laying vessels in southern Iran. US forces claimed the attacks were in self-defence, while stressing that the ceasefire with Iran remains in effect.

Iran’s response to the action remains unclear. However, according to Ibrahim, new military actions could complicate ongoing peace negotiations between the two nations. “Especially after Tehran repeatedly warned the US against further strikes,” he said.

On the domestic front, he explained that a confidence crisis affecting the economy has emerged due to the rupiah’s depreciation against the US dollar. Pressure on the Indonesian currency is not expected to ease soon.

This situation has led to increased production costs for companies, particularly those reliant on imported raw materials and export markets. “This increases the risk of layoffs,” he added.