IHSG Surges 1%, Reclaims 6,100 Level as Banking and Astra Rally

The Jakarta Composite Index (IHSG) ended trading on Thursday with a gain of 1.1%, successfully breaking back through the psychological level of 6,100. The index closed at 6,108.21, up 66.24 points, despite being dragged into the red during the first 30 minutes of the session due to pressure from PT DCI Indonesia Tbk. (DCII). A total of 385 stocks advanced, 254 declined, and 326 remained unchanged. Transaction value reached Rp13.22 trillion, with a volume of 26.23 billion shares across 2.27 million trades. The market capitalisation of the Indonesia Stock Exchange (BEI) rose to Rp10,659 trillion. The strengthening occurred almost throughout the entire trading day after the initial correction. All sectors closed in positive territory. The raw materials sector led the gains with a 1.67% increase, followed by the financial sector which rose 1.22%, utilities up 1.03%, consumer cyclicals up 0.87%, and energy up 0.85%. The performance of the financial sector was a major support for the IHSG, driven by a rally in large-cap banking stocks. In terms of index contributors, PT Astra International Tbk. (ASII) was the largest driver, contributing approximately 10.19 points to the IHSG. It was followed by PT Bank Mandiri (Persero) Tbk. (BMRI) with 8.99 points, PT Bank Central Asia Tbk. (BBCA) with 8.83 points, PT Amman Mineral Internasional Tbk. (AMMN) with 6.75 points, and PT Bank Rakyat Indonesia (Persero) Tbk. (BBRI) with 4.38 points. The rally in these large-capitalisation stocks managed to offset the initial pressure from DCII. Throughout the trading day, PT DCI Indonesia Tbk. (DCII) was the main drag on the IHSG. In the early session, the stock, owned by Toto Sugiri, plunged to Rp183,900, a decline of approximately 7.4% from the previous close. This drop shaved around 15 points off the IHSG, pushing the index into the red zone during the first 30 minutes of trade. However, the pressure gradually eased towards the close. DCII managed to trim its losses to just 0.44%, significantly reducing its burden on the index. By the end of trading, DCII’s negative contribution to the IHSG had shrunk to only around 0.9 points, a stark contrast to the early session. On the foreign investment front, caution remained evident. By the first session, foreign investors were still recording a net sell in the regular market. However, overall, foreigners booked a net buy of approximately Rp1 trillion, following a jumbo transaction in the negotiated market for PT Perdana Karya Perkasa Tbk. (PKPK) shares worth around Rp1.44 trillion. Total foreign transactions in the first session reached Rp4.19 trillion, comprising foreign buy of Rp2.60 trillion and foreign sell of Rp1.59 trillion. Despite this, selling action was still observed in several blue-chip stocks. PT Chandra Asri Pacific Tbk. (TPIA) was the stock most heavily sold by foreigners, with a value of Rp60.83 billion, followed by PT Rans Entertainmen Indonesia Tbk. (RANS) at Rp43.36 billion, PT Astra International Tbk. (ASII) at Rp30.21 billion, PT Bank Rakyat Indonesia (Persero) Tbk. (BBRI) at Rp24.63 billion, PT Sumber Alfaria Trijaya Tbk. (AMRT) at Rp17.25 billion, and PT Bumi Resources Tbk. (BUMI) at Rp13.79 billion. With the easing of pressure from DCII and the strengthening of large-cap stocks, particularly in the banking sector, Astra, and Amman Mineral, the IHSG managed to sustain its rally until the close and finished back above the psychological level of 6,100.