Investors Exit Risky Assets, IHSG Must Be Defended at 8,000 Level

JAKARTA — Indonesia’s Composite Stock Index (IHSG) declined sharply by 2.65 per cent to 8,016.83 in trading on Monday, 2 March 2026, in line with global pressures triggered by escalating conflict between the United States and Iran.

Military actions involving the US and Israel against Iran have sparked increases in oil and gold prices, prompting global investors to enter risk-off mode, withdrawing from high-risk assets.

Market observer and Founder of Republik Investor, Hendra Wardana, stated that under such conditions, investors tend to sell off risky assets such as equities and shift towards safe-haven instruments.

“Pressure is intensifying as almost all sectors are experiencing selling pressure, except the energy sector which remains relatively resilient thanks to rising crude oil prices,” he said in a written statement on Tuesday, 3 March 2026.

However, should the index break down below 8,000, it could potentially continue declining to the 7,941 level as the next support area.

“With foreign net selling of Rp 490 billion, short-term pressure remains a concern, though such sharp declines also create opportunities for technical rebounds,” he added.

Meanwhile, medium and long-term investors should avoid panic and instead await confirmation of stabilisation at strong support levels before undertaking gradual accumulation.

“Risk management is crucial, including discipline in setting stop-loss limits should the weakening scenario continue,” he explained.