JCI Remains Under Pressure from Selling Spree, 646 Stocks Decline
The selling pressure in the domestic stock market remains unstoppable. The Indonesia Composite Index (JCI) plummeted significantly, extending a sharp correction trend that has persisted for the last three months. Based on trading data, at the close of the first trading session, the JCI was recorded at the 5,434.30 level, dropping 160.46 points or 2.87%. Intraday, the index even touched a low of 5,346.91.
Massive selling occurred across almost the entire market. A total of 6lar646 stocks were recorded to have weakened, with only 88 stocks gaining, while 79 stocks remained stagnant. Transaction value reached Rp 12.92 trillion, with trading volume hitting 20.24 billion shares and transaction frequency reaching 1.38 million times. It was noted that this morning, the index corrected by more than 4% within just about 10 minutes of trading, indicating highly aggressive selling pressure and suggesting that panic continues to dominate market sentiment.
Nearly all trading sectors weakened, with only the basic materials sector posting gains. The healthcare, technology, and non-primary consumer sectors recorded the deepest corrections today. Major issuers weighing down the JCI’s performance included TLKM, BBRI, and BBCA.
Indonesia’s financial market continues to face dynamics ranging from war to investors closely monitoring domestic fiscal resilience. Iran reportedly launched missiles towards Israel on Sunday (7/6/2026), the first time since the ceasefire between Tehran and Washington took effect in April. The Speaker of the Iranian Parliament, Mohammed Baqer Ghalibaf, accused the US naval blockade and Israeli attacks in Lebanon of violating the agreement, stating that US bases and Israeli assets in the region are now legitimate targets. US President Donald Trump, having received reports of the attack, stated that Iran’s actions would not assist the negotiation process. He is also said to be contacting Israeli Prime Minister Benjamin Netanyahu to urge him not to retaliating against Iran’s attack.
The Iranian Revolutionary Guard Corps (IRGC) emphasised that the ceasefire holds on the condition that conflict ceases on all fronts, including Lebanon. Iran warned of a broader response if attacks recur. These tensions threaten fragile peace efforts. Iran demands an end to the war in Lebanon and the lifting of the US blockade, while Washington demands Tehran surrender nuclear materials and cease nuclear weapon ambitions.
Domestically, Finance Minister Purbaya Yudhi Sadewa presented the realisation of the State Budget (APBN) up to the end of May 2026 during the APBN KiTA Press Conference held on Friday (5/6/2026). Amid global uncertainty and geopolitical tensions in the Middle East, the Finance Minister asserted that Indonesia’s economic foundation remains solid, with APBN realisation showing a very positive trend. The current APBN deficit remains well-maintained, measured, and in line with the 2026 budget design. Budget financing is also managed prudently, efficiently, and flexibly following financial market dynamics. The budget deficit increased slightly to Rp 180.4 trillion or 0.70% of GDP, slightly higher than Rp 164.4 trillion or 0.64% of GDP at the end of April 2026.
“The realisation of the APBN up to May 2026 continues to show positive results,” said Purbaya during the press conference. The fiscal deficit remains a sharp focus for investors, particularly amidst war volatility which drives up energy prices and derivatives, expected to increase costs. Meanwhile, the US Dollar Index climbed back to the 100.069 level, its highest since late March 2026. The strengthening dollar index signifies that investors are returning to the US Dollar, which could trigger outflows from emerging markets like Indonesia, further threatening the Rupiah. In the past week, the Rupiah plummeted to the level of Rp 18,000/US$1.
Bank Indonesia Deputy Governor Destry Damayanti noted that the exchange rate weakness is still influenced by the escalating geopolitical tensions in the Middle East, which hinder peace prospects, drive oil prices higher, and increase the risk of global inflation and capital outflows from developing nations. “Additionally, domestic demand for dollars remains quite high in line with dividend repatriation patterns and external debt payments,” said Destry.