IHSG Opens Weak This Morning, Down 0.2%

The Jakarta Composite Index (IHSG) opened weaker in trading on Monday (31/8/2026), as investors monitored the potential for a surge in transactions due to the implementation of MSCI index changes at the close of trading today.

Based on data from the Indonesia Stock Exchange, the IHSG at 09.00 WIB stood at 6,505.13, down 12.99 points or 0.20% from Friday’s (28/8) closing position of 6,518.12.

A total of 284 shares rose, 135 shares fell, while 544 other shares remained stagnant. Transaction value was recorded at around Rp393.4 billion with trading volume reaching 757.9 million shares and a frequency of 72,530 times.

The movement of the Jakarta Composite Index (IHSG) in trading on Monday (31/8/2026) will be overshadowed by a number of global and domestic sentiments. Market participants will monitor the potential for a surge in transactions as the MSCI index changes are implemented at the close of trading today, while also absorbing the impact of the hawkish speech by Federal Reserve Chair Kevin Warsh at Jackson Hole.

Domestically, investors are also preparing for the release of several important economic data at the start of the week, ranging from manufacturing PMI, inflation to the trade balance. Externally, market direction will be influenced by developments in the US-Iran conflict, manufacturing data from China and the United States, as well as US employment data.

One of the main sentiments today is the MSCI rebalancing. The constituent changes resulting from the August 2026 evaluation will be effective on 1 September and executed at the close of trading on Monday. GOTO and CPIN are removed from the MSCI Global Standard Index, with CPIN moving down to the MSCI Small Cap, while GOTO is also removed from the MSCI Indonesia IMI.

This condition has the potential to drive a surge in transactions, especially towards the close of trading, as fund managers who use MSCI as a benchmark need to adjust their portfolios.

Another sentiment comes from Federal Reserve Chair Kevin Warsh, who gave a hawkish signal in his speech at Jackson Hole on Friday (28/8) evening Indonesia time. Warsh emphasised that US inflation remains above the Fed’s 2% target and opened the door for interest rates to be raised again if price pressures do not subside.

The speech has not been fully reflected in the domestic market because it was delivered after Indonesian stock trading ended. Therefore, investors’ response to changes in Fed policy expectations will be one of the focuses in today’s trading.

On geopolitics, the US again attacked Iranian positions near the Strait of Hormuz on Sunday (30/8). US forces struck two Iranian rocket launchers on Larak Island after detecting preparations to launch rockets carrying sea mines into the Strait of Hormuz.

This escalation has the potential to again affect oil prices and global risk asset sentiment, given that the Strait of Hormuz is a crucial route for world energy trade.