JCI Rises 0.64% to 6,317.46

The Indonesia Composite Index (JCI) remained in the green during the first trading session this Wednesday (23/9/2023). According to IDX Mobile data, the JCI rose by 40.42 points or 0.64% at the market opening to the level of 6,317.46.

At the start of trading, the index opened at 6,446.90 and briefly strengthened to a daily high of 6,451.33. However, selling pressure subsequently caused the JCI to weaken, touching a low of 6,381.57.

In intraday movements, the JCI fluctuated around the 6,420 level after facing pressure early in the session. The index then regained strength, approaching the 6,430 level, but this momentum failed to persist until the end of the session. Towards the close, the JCI faced renewed pressure and moved downwards towards the 6,380 level.

Today’s JCI gains were driven by the consumer staples sector, which rose by 3.5%, followed by basic materials up 1.7%, and the energy sector up 1.1%.

A total of 416 stocks strengthened, 224 stocks weakened, and 323 stocks remained stagnant. Transaction value reached approximately Rp 6.04 trillion, with a trading volume of 17.92 billion shares and a turnover of 1.10 million trades.

Quoting Stockbit data, the regular market dominated transaction activity. In the regular market, the trading volume was recorded at 239.41 million lots, with a transaction value of Rp 10.21 trillion and a frequency of around 1.82 million transactions.

Meanwhile, transactions through the negotiated market were recorded at 28.54 million lots, with a transaction value of Rp 1.58 trillion and a frequency of 448 transactions. Transactions in the cash market were relatively small, totaling only 2 lots with a value of Rp 25.20 thousand from 2 transactions.

The Indonesian financial market on Wednesday (23/9/2026) will closely watch Bank Indonesia’s (BI) interest rate decision and developments in the Middle East war. Bank Indonesia will announce its benchmark interest rate decision on Wednesday, following a two-day Board of Governors Meeting (RDG). This announcement marks the first for Destry Damayanti since being inaugurated as the definitive Governor of BI on 2 September.

The RDG is being held amidst global uncertainty and surging inflation, which has ushered in a return to a high-interest-rate era. At least nine central banks have already raised interest rates, including the Fed and the Bank of Japan (BoJ).

A CNBC Indonesia poll of 11 institutions and agencies showed that eight respondents expect the BI Rate to remain at 5.75%. Three other respondents projected an increase of 25 basis points (bps) to 6.00%. The deposit facility and lending facility rates are expected to remain unchanged at 4.75% and 6.5%, respectively.

If BI maintains the rate, it will be the third consecutive decision to hold, following holds in July and August. Previously, BI had cumulatively raised interest rates by 100 bps throughout May-June 2026, from 4.75% to 5.75%.

Inflation remains within BI’s target of 1.5%-3.5%. The Central Bureau of Statistics (BPS) recorded August inflation at 3.19% year-on-year, up from 2.88% in July.

On the other hand, the rupiah closed weaker at Rp17,850/US$ on Tuesday (22/9/2026), while the US central bank, the Federal Reserve, raised its interest rate by 25 bps last week.

In the August RDG, Destry, who was then serving as the Acting Governor of BI, stated that the decision to hold rates was in line with efforts to maintain rupiah stability amidst global volatility caused by the war in the Middle East. BI is also considering an inflation target of 2.5±1% for 2026 and 2027, as well as economic growth.

In addition to interest rates, BI previously stated it would expand incentive policies to encourage foreign capital inflows and maintain rupiah stability. Loose macroprudential policies are also directed towards supporting credit and financing for the real sector.

Meanwhile, oil prices have fallen for five consecutive days. On Tuesday (22/9/2026), Brent crude prices fell below US$ 100 for the first time since 8 September 2029. Brent fell 1.09% to US$ 99.25 per barrel, while WTI slumped to US$ 94.5 per barrel, a 1.3% decrease.

Over the last five days, oil prices have dropped by 8.7%, while WTI has plummeted by 10.6%. The weakening oil prices have not been able to curb the strength of the US dollar. The US Dollar Index actually strengthened to 100.601 on Tuesday, from 100.429 on Monday.

US Treasury yields also rose to 4.967% from 4.963%. The rise in US Treasury yields and the dollar index serves as bad news for the rupiah, as these conditions could trigger capital outflows and pressure the currency.