IHSG Reopens Down 1.32 Percent, Asian Markets Mixed and Wall Street Falls

Jakarta – The Jakarta Composite Index (IHSG) opened in the red, down 84 points or 1.32 percent, at 6,286 as trading began on Wednesday, 20 May 2026. Fanny Suherman, Head of Retail Research at BNI Sekuritas, predicted the IHSG could see a short-term technical rebound to around 6,450, but advised selling on rallies as the index could still extend its correction. She noted that Asian stock markets were mixed on Tuesday, while the bond market began to rebound after a sharp sell-off earlier. Market sentiment improved after US President Donald Trump delayed plans to attack Iran and said the likelihood of reaching a nuclear agreement with Tehran was fairly high, which helped push oil prices lower. Trump said on Monday, 18 May 2026, that he delayed the attack to allow space for negotiations to end the Middle East conflict, after Tehran sent a new peace proposal to Washington. He also cited a “very high” chance for the US and Iran to reach an agreement to prevent Tehran from acquiring a nuclear weapon. Nevertheless, investors remained cautious after markets were rattled by a drone attack in the United Arab Emirates over the weekend. The Nikkei 225 in Japan fell 0.44 percent, Hang Seng in Hong Kong rose 0.48 percent, CSI 300 in China rose 0.40 percent, Taiex in Taiwan weakened 1.75 percent, the ASX 200 in Australia surged 1.17 percent, and the Kospi in South Korea slumped 3.25 percent. “Support for the IHSG is at the 6,200-6,300 level, while resistance is in the 6,400-6,450 range,” Suherman said. For context, Wall Street indices fell again on Tuesday, as rising US government bond yields sparked concerns about the sustainability of the global stock rally. The S&P 500 declined 0.67 percent, the Nasdaq Composite fell 0.84 percent, and the Dow Jones Industrial Average slipped 0.65 percent. Meanwhile, market participants tracked the leadership transition at the Fed ahead of the swearing-in of Kevin Warsh as Chairman of the Fed on Friday.