IHSG Closes at 6,370, Driven by Rumours of Formation of an Export Authority
The Jakarta Composite Index (IHSG) on the Indonesia Stock Exchange (BEI) closed lower on Tuesday afternoon, pressured by market participants’ concerns over rumours that the government intends to form a special body to regulate exports of strategic commodities.
IHSG closed down 228.56 points or 3.46 percent at 6,370.68. The LQ45 index, representing the 45 leading stocks, fell 16.27 points or 2.50 percent to 634.82.
The IHSG weakened due to selling pressure after rumours circulated that the government plans to regulate commodity exports through a single state-created special body, Head of Research at Phintraco Sekuritas, Ratna Lim, said in Jakarta on Tuesday, 19 May 2026, as quoted by Antara.
Several strategic commodities rumoured to be regulated via the special body include coal, crude palm oil (CPO) and metallic minerals.
“This has raised investor concerns that there could be potential controls on selling prices that could affect firms’ profit margins,” Ratna said.
Ratna explained that the rumours are also linked to the planned appearance of President Prabowo Subianto at the DPR Plenary Session, where he will deliver a speech on the Macro-Economic Framework and the Principles of Fiscal Policy (KEM-PPKF) for the 2027 Budget (RAPBN) on Wednesday, 20 May 2026.
This will be the first time a head of state directly presents the KEM-PPKF document to the DPR, typically delivered by the Finance Minister.
On the other hand, market participants are anticipating the results of the Bank Indonesia (BI) Board of Governors Meeting (RDG) to be announced on Wednesday; consensus expects BI to raise the BI Rate by 25 basis points to 5 percent to curb rupiah weakness.
Meanwhile, April credit growth is expected to rise by 9.7 per cent year-on-year (YoY) from 9.49 per cent YoY in March 2026.
Opening weaker, IHSG remained in negative territory through the first session’s close. In the second session, IHSG remained in the red until market close.
According to the IDX-IC sector index, all eleven sectors weakened, with the raw materials sector falling the most, down 7.54 percent, followed by the energy sector and the transport & logistics sector down 6.89 percent and 6.60 percent respectively.
Top performing stocks included LCKM, RELI, ASPR, UDNG, and CINT. The biggest losers were DSNG, ELPI, TAPG, ICON and DFAM.
Trading frequency reached 2,804,569 transactions with 46.07 billion shares traded worth Rp 25.80 trillion. Of the shares tracked, 112 rose, 612 fell, and 94 were unchanged in value.
Regional Asian stock markets this afternoon included Nikkei down 75.45 points or 0.12 percent to 60,740.50, Hang Seng up 122.67 points or 0.48 percent to 25,797.85, Shanghai up 38.01 points or 0.92 percent to 4,169.54, and Straits Times up 75.59 points or 1.51 percent to 5,072.34.