MSCI Effect! These Stocks Become the Cause of IHSG's Vulnerability
Jakarta, CNBC Indonesia — The Composite Stock Price Index (IHSG) fell more than 1% at the start of trading on Wednesday (13/5/2026), after the market reacted negatively to the results of Morgan Stanley Capital International’s (MSCI) index review, which removed several major Indonesian stocks from its global index.
According to data from the Indonesia Stock Exchange (BEI) via IDX Mobile at 09:10 WIB, the IHSG dropped 109.77 points or 1.60% to the level of 6,749.13.
A total of 353 stocks weakened, 213 stocks strengthened, and 393 stocks remained stagnant. The transaction value reached Rp3.04 trillion with a trading volume of 10.19 billion shares in 276,600 transactions.
The greatest pressure on the IHSG came from stocks that were removed from the MSCI Global Standard Index and MSCI Global Small Cap Index.
Movers data showed that shares of PT Chandra Asri Pacific Tbk (TPIA) became the biggest drag on the IHSG with a contribution of minus 13.45 index points. This was followed by PT Amman Mineral Internasional Tbk (AMMN), which pressured 10.95 index points, and PT Dian Swastatika Sentosa Tbk (DSSA) by 7.95 points.
Then, PT Barito Renewables Energy Tbk (BREN) pressured the IHSG by 6.28 points and PT Petrindo Jaya Kreasi Tbk (CUAN) by 3.60 points.
In terms of share prices, TPIA plunged 12.48%, CUAN fell 12.17%, AMMN dropped 10.57%, DSSA weakened 9.87%, and BREN corrected 8.31%.
Other stocks that were also removed from the MSCI small cap index experienced pressure. PT Bank Aladin Syariah Tbk (BANK) fell 6.67%, PT Midi Utama Indonesia Tbk (MIDI) weakened 6.55%, PT Bumi Serpong Damai Tbk (BSDE) dropped 5.26%, and PT Astra Agro Lestari Tbk (AALI) corrected 4.95%.
Previously, MSCI officially removed six Indonesian stocks from the MSCI Global Standard Index, namely:
PT Amman Mineral Internasional Tbk (AMMN)
PT Barito Renewables Energy Tbk (BREN)
PT Chandra Asri Pacific Tbk (TPIA)
PT Dian Swastatika Sentosa Tbk (DSSA)
PT Petrindo Jaya Kreasi Tbk (CUAN)
PT Sumber Alfaria Trijaya Tbk (AMRT)
In addition, MSCI also removed 13 Indonesian stocks from the MSCI Global Small Cap Index.
CGS International Sekuritas Indonesia previously estimated that this MSCI rebalancing could trigger passive outflows of up to US$1.8 billion or approximately Rp31.49 trillion. All these changes will take effect at the close of trading on 29 May 2026.
The good news is that MSCI retained Indonesia in the emerging markets group. As is known, MSCI had previously opened the possibility of reclassifying Indonesia’s status from emerging markets to frontier markets.
In the announcement on Tuesday (12/5/2026) US time, Indonesia remained categorised in the emerging markets list along with other countries such as China, India, Korea, Malaysia, the Philippines, Taiwan, and Thailand.
On the other hand, Asian market movements were mixed. The Taiwan index was the most pressured with a correction of 1.02%, followed by the SGX-CNBC China Growth index down 0.71% and Shenzhen weakening 0.43%.
The ASX 200 Australia index fell 0.23%, Hang Seng Hong Kong weakened 0.16%, and Shanghai Composite corrected 0.14%.
In contrast, the Kospi South Korea index strengthened 1.2%, while the STI Singapore rose 0.61% and Nikkei Japan strengthened 0.32%.
In other developments, US President Donald Trump stated that he does not need assistance from Chinese President Xi Jinping to end the war with Iran, although the chances of achieving peace are increasingly slim.
Trump said the US would resolve the conflict “peacefully or otherwise.” The war has disrupted shipping routes in the Strait of Hormuz, which is usually passed by around 20% of the world’s oil supply.
Meanwhile, Iran is strengthening its control over the Strait of Hormuz by cooperating with Iraq and Pakistan to channel oil and LNG. Other countries are also reportedly considering similar steps.
Trump is scheduled to discuss this conflict with Xi Jinping this week. Washington demands that Iran halt its nuclear programme and reopen the Strait of Hormuz, while Tehran demands war compensation, lifting of sanctions, and an end to conflicts throughout the region.