IHSG Closes Lower, Weighed Down by Global and Domestic Sentiment
The Indonesian Composite Index (IHSG) on the Indonesia Stock Exchange (BEI) closed lower on Wednesday, weighed down by both global and domestic sentiment. The IHSG weakened by 39.20 points, or 0.64 percent, to 6,091.39. Meanwhile, the LQ45 index of 45 leading stocks fell 1.51 points, or 0.25 percent, to 606.52.
From the global front, Asian markets moved variably as tensions escalated once again between the United States and Iran, reviving concerns over global energy supply disruptions. Iran fired ballistic missiles at US positions in the Middle East, heightening the conflict after a temporary lull, though the US military claimed it successfully intercepted what it described as a surprise Iranian attack targeting American troops stationed across the region. On the other side, the US military conducted a joint strike with Saudi forces in Iraq, targeting Iran-backed militant groups in response to an Iranian-directed drone attack. In the Strait of Hormuz, Iran rejected an Omani proposal to share control of the shipping lane, insisting that the entry route and part of the exit route remain under Tehran’s control. Additionally, market participants are awaiting the US Federal Reserve’s monetary policy decision, with a 67.9 percent probability that the benchmark interest rate will be held steady.
Domestically, the sudden resignation of the Bank Indonesia Governor has drawn the attention of global credit rating agencies Moody’s Ratings, Fitch Ratings, and S&P Global Ratings. These agencies view the credibility of monetary policy, the independence of the central bank, and the consistency of economic policy direction as key factors in maintaining market confidence. This has prompted market participants to adopt a cautious, wait-and-see approach while anticipating the appointment of a credible definitive central bank chief.
The IHSG opened lower and remained in negative territory through the close of the first trading session, continuing its decline into the second session. Based on the IDX Industrial Classification, two sectors strengthened: the primary consumer goods sector rose 0.19 percent, followed by the healthcare sector which edged up 0.06 percent. Eight sectors weakened, with the property sector falling the deepest at 2.49 percent, followed by the industrial sector and the transportation and logistics sector, which dropped 2.44 percent and 1.69 percent respectively.
Stocks recording the largest gains included MGNA, DWGL, ECII, NEST, and BACH, while the biggest losers were ELPI, MPRO, MCAS, BAJA, and KOBX. Trading frequency reached 1,955,000 transactions, with 38.80 billion shares traded worth Rp22.95 trillion. A total of 186 stocks advanced, 494 declined, and 285 remained unchanged.
Across regional Asian bourses, the Nikkei index weakened 1.03 percent to 61,724.00, the Shanghai index strengthened 0.40 percent to 3,828.47, the Hang Seng index gained 1.96 percent to 25,807.92, the Kospi index fell 5.98 percent to 5,663.24, and the Strait Times index rose 1.57 percent to 5,704.54.