JCI Weakens Again, Closing at Level 5,839.78
The Indonesia Composite Index (JCI) closed lower in Thursday afternoon trading, dropping by 101.28 points or 1.70 per cent to the level of 5,839.78. Throughout the trading session, the JCI plummeted to a daily low of 5,644 before recovering some losses towards the close.
Ratna Lim, Head of Research at Phintraco Sekuritas, noted that the index’s decline occurred amidst widespread rumours in the domestic market, characterised by high uncertainty and low investor confidence. “Selling pressure continued from the previous day’s trading due to various rumours in the domestic market amidst high uncertainty and low investor confidence,” she stated in Jakarta on Thursday, 4 June 2026.
Additionally, the depreciation of the Rupiah, which closed down approximately 0.46 per cent to Rp 18,049 per US dollar, further burdened market sentiment. Across Asia, most stock indices also moved lower due to rising tensions between the US and Iran, which drove up oil prices and sparked concerns regarding potential increases in global inflation.
Based on technical analysis, the widening negative histogram of the Moving Average Convergence Divergence (MACD) and the formation of a death cross pattern on the Stochastic RSI indicate that selling pressure remains quite strong. Although the JCI managed to move away from its intraday low, the index’s movement is expected to remain volatile with a downward trend, potentially testing support areas in the 5,700-5,800 range.
Capital market observer Elandry Pratama assessed that the JCI decline was triggered by a combination of several simultaneous negative sentiments. According to him, the weakening Rupiah to the level of Rp 18,000 per US dollar occurred alongside continued foreign capital outflows from both the stock and government bond markets. “At the same time, the market also received negative sentiment from Moody’s outlook regarding Danantara,” he said.
Externally, geopolitical tensions in the Middle East have escalated, while the latest tariff policies from US President Donald Trump have the potential to pressure several Indonesian export sectors. “The combination of these various negative sentiments was further exacerbated by technical factors such as panic selling and the effect of margin calls, leading to larger selling actions and a deeper decline in the JCI during today’s trading,” he explained.
According to the IDX-IC Sectoral Index, 11 sectors closed in the red zone. The deepest decline was experienced by the industrial sector, which fell by 4.07 per cent, followed by the property sector at 3.28 per cent and the primary consumer goods sector at 2.36 per cent.
Stock trading frequency was recorded at 2.29 million transactions, with a trading volume of 39.68 billion shares valued at Rp 25.53 trillion. A total of 106 stocks strengthened, 623 stocks weakened, and 85 stocks remained unchanged.