Video: JCI Begins to Rebound, How Strong is its Resilience Against MSCI and War Sentiments?

Jakarta, CNBC Indonesia — As of the end of May 2026, the MSCI rebalancing sentiment has been identified by Bernadus Wijaya, Chief Executive Officer of PT Sucor Sekuritas, as a factor driving foreign net selling and weighing on the Jakarta Composite Index (JCI), which briefly touched the 6,000 level.

Market participants’ confidence in the MSCI’s decision to maintain Indonesia’s position within the ‘Emerging Market’ category could drive the strengthening of the Indonesian capital market. Furthermore, efforts by the government and stock exchange authorities to strengthen stock exchange governance are expected to bolster investor confidence in Indonesia.

On the other hand, the ongoing volatility caused by the war in the Middle East remains a market concern, particularly regarding the potential risk of central bank interest rate hikes.

Reviewing current market conditions and developments, Bernadus projects that the JCI could reach levels between 9,000 and 10,000, provided there is no policy uncertainty, the fiscal deficit remains below 3%, and MSCI policy requirements are met.