US-Iran Ceasefire Boosts Sentiment, IHSG Poised to Test 7,151, Path to 7,200 Opens
JAKARTA, KOMPAS.com - The easing of geopolitical tensions in the Middle East is viewed as a positive sentiment for the Jakarta Composite Index (IHSG) during trading on Wednesday (6/5/2026).
Capital market observer and Founder of Republik Investor, Hendra Wardana, stated that the ceasefire between the United States and Iran, along with the normalisation of energy distribution routes through the Strait of Hormuz, has driven a decline in global oil prices by around 4%.
This situation has been welcomed positively by global financial markets, as reflected in the strengthening of stock indices on Wall Street, which once again hit a record high.
The drop in oil prices serves as an important sentiment because it can alleviate global inflationary pressures, reduce energy costs, and open up room for more flexible monetary policies.
On the domestic side, Indonesia’s economic growth in the first quarter of 2026 reached 5.61% year-on-year (YoY), indeed surpassing market expectations. However, Hendra views this growth as still largely supported by fiscal stimuli and government programmes.
Household consumption remains the primary pillar of the national economy, while investments are beginning to show growth in line with the acceleration of downstreaming projects. Nevertheless, the impact of these investments on the real economy is considered not yet fully even.
“Household consumption remains the primary pillar, while investments are starting to grow alongside downstreaming projects, although their effects on the real economy are not yet even,” he explained.
On the other hand, pressure on the rupiah exchange rate, which is still holding around Rp 17,400 per US dollar, reflects external imbalances. Growth in imports outpacing exports is seen as increasing the need for foreign exchange and pressuring the stability of the domestic currency.
“This reinforces the view that current growth is still of the ‘growth without depth’ variety, so the market is still awaiting confirmation from improvements in real indicators and the return of foreign fund flows,” he elaborated.
Hendra predicts that the IHSG has the potential to continue limited strengthening, with a tendency to test the resistance area at the 7,151 level. If that level is convincingly breached, the index is expected to have the opportunity to continue rising towards the 7,200 area.
However, as long as a strong breakout does not occur, the IHSG is expected to still move within a consolidation range around 7,000-7,200.
Several stocks deemed attractive to monitor during Wednesday’s trading include:
PT Bukit Uluwatu Villa Tbk (BUVA) with a target price of Rp 1,205, PT Petrindo Jaya Kreasi Tbk (CUAN) with a target of Rp 1,500, and PT Petrosea Tbk (PTRO) with a target of Rp 6,300.