IHSG Falls Sharply on Iran–Israel Conflict, BEI: Regional Exchanges Also Down

Jakarta — The Jakarta Composite Index (IHSG) fell sharply at the start of trading on Wednesday (4 March 2026). The index declined by 279.034 points, or 3.51 percent, to 7,660.732 as of 10:16 WIB, about an hour after the market opened.

Data from the Indonesia Stock Exchange (BEI) show the IHSG opened at 7,896.377 and briefly rose to a high of 7,897.812. However, selling pressure pushed the index to a low of 7,639.894.

The IHSG’s weakness was reflected in the prevalence of red for shares. At the market’s opening, 679 shares fell, far more than the 63 that rose, with 64 shares stationary.

Director of Trading and Market Regulation at BEI, Irvan Susandy, said the IHSG drop followed declines in several regional stock markets.

He noted that regional indices such as Kospi, SET, Kosdaq, Nikkei, Taiwan TAIEX and ASX also posted sharp declines today.

South Korea’s stock exchange even halted trading temporarily after its index fell more than 8 percent.

‘The IHSG movement is in line with other regional indices that also dropped sharply, such as Kospi, SET, Kosdaq, Nikkei, Taiwan TAIEX and ASX. Korea briefly experienced a trading halt after falling by more than 8 percent,’ Irvan said when contacted by reporters.

He explained that downward pressure in global stock markets was driven by escalating geopolitical tensions in the Middle East. The situation was exacerbated by reports that Iran had closed the Strait of Hormuz, a vital energy trade route.

‘This reflects the escalation of geopolitical tensions in the Middle East, and Iran’s closure of the Strait of Hormuz, which raises concerns about an energy crisis. This is already reflected in higher global oil prices,’ he added.