Why Did Foreign Net Selling of Rp2.1 Trillion Leave IHSG in the Green?

Jakarta, CNBC Indonesia - The Indonesia Composite Index (IHSG) closed higher on Monday, 25 May 2026, despite foreign investors conducting massive sell-offs in the domestic stock market. The IHSG rose 44.30 points, or 0.72%, to 6,206.35. A total of 470 stocks gained, 236 declined, and 114 remained flat. However, according to Indonesia Stock Exchange (BEI) data, foreign investors recorded a net sell of Rp2.22 trillion across the market. Foreign selling amounted to Rp7.53 trillion, exceeding purchases of Rp5.31 trillion. Foreign selling pressure occurred amid MSCI index rebalancing sentiment and a weakening rupiah, which continues to weigh on emerging market assets, including Indonesia. However, despite the heavy outflow of foreign funds, the IHSG did not collapse. Global sell-offs were quickly absorbed by domestic investors, particularly in blue-chip and conglomerate stocks. PT Bank Mandiri (Persero) Tbk (BMRI) saw the largest foreign net sell of Rp24.86 billion. Conversely, it was also the most absorbed by domestic investors at higher prices, closing up 2.43%. Foreign investors also heavily sold PT Amman Mineral Internasional Tbk (AMMN) by Rp22.62 billion. The same scenario occurred with AMMN, where domestic investors absorbed the foreign sell-offs, driving the Salim-affiliated company’s shares up 8.62%. Pressure was also evident in several Prajogo Pangestu group stocks, including PT Chandra Asri Pacific Tbk (TPIA), PT Barito Renewables Energy Tbk (BREN), PT Petrindo Jaya Kreasi Tbk (CUAN), and PT Barito Pacific Tbk (BRPT). However, foreign selling pressure on Prajogo group companies caused their shares to plummet, as domestic investors were unwilling to absorb them at higher prices. Meanwhile, major bank stocks remained the main drivers of the index. PT Bank Rakyat Indonesia (Persero) Tbk (BBRI), PT Bank Central Asia Tbk (BBCA), and BMRI were the top contributors to the IHSG’s gains. BBRI even recorded the largest foreign net buy of Rp11.42 billion, followed by PT Merdeka Copper Gold Tbk (MDKA) at Rp11.22 billion and BBCA at Rp6.46 billion. Technically, the IHSG also began showing signs of easing selling pressure after a sharp correction from the peak of around 9,100 to a low of 5,900. In recent sessions, the index has moved more steadily, attempting to form a new consolidation zone between 6,000 and 6,300. However, the medium-term trend remains bearish as the index continues to show lower highs and lower lows. This suggests the current rally is a technical rebound rather than a full trend reversal.