Rupiah Edges Higher as IDX Plan to Remove 80 HSC Shares from Composite Index Draws Attention
The rupiah strengthened against the US dollar at the opening of trading on Tuesday (20 October 2026). It rose 31 points, or 0.07%, to Rp18,015 per US dollar, compared with the previous session’s close of Rp18,046.
Doo Financial analyst Lukman Leong said the Indonesia Stock Exchange’s (IDX) plan to remove shares with high shareholding concentration (HSC) from the Composite Stock Price Index (IHSG) was among the positive factors for the rupiah.
“Although uncertainty remains high, government measures, including removing HSC shares from the IHSG, are expected to provide positive sentiment and support for domestic equities and the rupiah,” he said in Jakarta on Tuesday.
The IDX plans to exclude 80 HSC-category shares from the IHSG calculation. IDX President Director Jeffrey Hendrik said the shares account for about 18% of the benchmark index.
The policy does not mean that HSC shares will be removed from the exchange or delisted. They will remain tradable, but changes in their prices will no longer affect the IHSG.
The move is intended to provide a more representative picture of the index’s movements, given the specific risks associated with shares that have highly concentrated ownership.
Despite the positive sentiment surrounding the exchange’s planned policy, the rupiah remains under pressure from global geopolitical developments. Lukman highlighted the escalation of conflict in the Middle East and the Russia-Ukraine war, which have also affected crude oil prices.
“The escalation in the Middle East and the Russia-Ukraine war, which have kept crude oil prices rising, will put renewed pressure on the rupiah,” Lukman said.
Xinhua reported that West Texas Intermediate crude for November delivery rose by US$2.25, or 2.22%, to US$103.66 a barrel at the close of trading on the New York Mercantile Exchange.
By contrast, Brent crude for December delivery fell by 31 cents, or 0.28%, to US$109.55 a barrel on the ICE Futures Exchange in London.
Taking account of domestic market developments and external factors, Lukman forecast that the rupiah would trade within a range of Rp17,950 to Rp18,100 per US dollar.