JCI Volatile, Opening Strong Before Plummeting into the Red
The Indonesia Composite Index (JCI) opened stronger in Wednesday’s (3/6/2026) trading, continuing the rebound recorded in the previous session. At the start of trading, the JCI surged 11.67 points or 0.19% to the 6,207 position. Transaction value at the start of trading was recorded at Rp 256 billion with a volume of 241 million shares and a frequency of 33,000 transactions. A total of 229 stocks were recorded as gaining, 74 weakening, and 309 remained stagnant.
However, a few minutes after the market became active, the JCI reversed direction and fell sharply, correcting by 0.92% to the 6,136 level. Shares of conglomerates were noted as the most actively traded today. Various domestic and international sentiments are expected to shadow the JCI and the Rupiah. After both strengthened in Tuesday’s trading, the Indonesian financial market is being tested again today.
Data from the S&P Global Purchasing Managers’ Index (PMI) released on Tuesday (2/6/2026) showed Indonesia’s PMI stood at 50.0 in May 2026. This figure represents an improvement after the PMI recorded a contraction in April 2026 (49.1). This increase was driven by improving domestic demand, with new orders growing for the second consecutive month at the fastest rate since February. However, export performance remains a weak point, as overseas orders fell for the third consecutive month, marking the deepest decline since August 2021 due to ongoing trade disruptions caused by the conflict in the Middle East.
Statistics Indonesia (BPS) also announced that Indonesia’s trade balance in April 2026 recorded a surplus of US$ 90 million. This surplus shrank compared to the March 2026 record of US$ 3.32 billion. The surplus was driven by an export value of US$ 25.30 billion against imports of US$ 25.21 billion. Notably, this marks the 72nd consecutive month of surplus since May 2020.
Furthermore, BPS reported inflation in May 2026 at 0.28% month-to-month (mtm). Calendar year inflation reached 1.35%, while annual inflation stood at 3.08%. The inflationary pressure recorded in the Consumer Price Index (CPI) for that month was higher than the April 2026 condition, which saw inflation of 0.13% mtm.
A major sentiment factor is the volume of approved but unutilised banking financing (undisbursed loans) to the business world, which reached Rp 2,527 trillion as of March 20le 6. This condition signals that some business players are still withholding their expansion plans. The Vice Chairman of the National Bank Association (Perbanas), Nixon Napitupulu, stated that the value of undisbursed loans in the banking sector indeed increased by 7.35% year-on-year in March 2026. He noted that various reasons exist why approved credit facilities have not yet been drawn down by customers, with the largest growth in undisbursed loans occurring in the large bank group.
Meanwhile, Asia-Pacific stock markets opened stronger on Wednesday (3/6/2026), with Japan’s main index hitting a new record high. Investors appear to be ignoring uncertainties regarding US-Iran negotiations aimed at ending the Middle East conflict. Market sentiment remains shadowed by rising tensions between Washington and Tehran. US Secretary of State Marco Rubio stated that Iran has placed mines in much of the Strait of Hormuz and has conducted attacks on commercial vessels passing through the shipping lane.
The Nikkei 225 index in Japan jumped 0.91% to a new record high, the Topix index strengthened by 0.93%, and the S&P/ASX 200 in Australia rose by 0.32%. In contrast to the Japanese and Australian markets, Hang Seng futures in Hong Kong showed weakness. In the commodities market, crude oil prices continued to rise amid concerns of supply disruptions due to the Middle East conflict. West Texas Intermediate (WTI) futures for June delivery rose 1.16% to US$ 94.92 per barrel, while Brent for July delivery traded around US$ 96 per barrel.