Indonesia Shares Reverse Early Gains on Iran Tensions, Inflation Spike

2026-03-03 07:45 By Farida Husna 1 min. read

Indonesia’s benchmark index fell 74 points, or 0.9%, to 7,940 on Tuesday afternoon, shifting from morning gains and marking a second straight session of losses.

Sentiment soured as U.S.

futures slumped, with traders weighing the impact of U.S.

and Israeli strikes on Iran on energy prices and the global economy.

Meanwhile, China signaled it is closely monitoring whether President Trump seeks new levers to reimpose duties struck down by the U.S.

Supreme Court.

Locally, inflation reaccelerated sharply in February to 4.76% from the prior 3.55%, the highest since March 2023, complicating prospects for moderation amid rising energy costs and rupiah weakness.

The IDX Composite revisited a three-week low as most sectors retreated, led by transport, infrastructure, and property.

Notable decliners included Elnusa (-4.5%), Amman Mineral International (-3.8%), Harum Energy (-3.3%), and Solusi Sinergi Digital (-3.0%).

Investors now anticipate mainland PMI readings, set to be due on Wednesday.



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Indonesia Shares Reverse Early Gains on Iran Tensions, Inflation Spike
Indonesia’s benchmark index fell 74 points, or 0.9%, to 7,940 on Tuesday afternoon, shifting from morning gains and marking a second straight session of losses. Sentiment soured as U.S. futures slumped, with traders weighing the impact of U.S. and Israeli strikes on Iran on energy prices and the global economy. Meanwhile, China signaled it is closely monitoring whether President Trump seeks new levers to reimpose duties struck down by the U.S. Supreme Court. Locally, inflation reaccelerated sharply in February to 4.76% from the prior 3.55%, the highest since March 2023, complicating prospects for moderation amid rising energy costs and rupiah weakness. The IDX Composite revisited a three-week low as most sectors retreated, led by transport, infrastructure, and property. Notable decliners included Elnusa (-4.5%), Amman Mineral International (-3.8%), Harum Energy (-3.3%), and Solusi Sinergi Digital (-3.0%). Investors now anticipate mainland PMI readings, set to be due on Wednesday.
2026-03-03
Indonesia Stocks Rebound
Indonesian equities rose 48 points, or 0.6%, to 8,061 in Tuesday morning trade, bouncing back from the prior session’s sell-off as bargain hunters stepped in after the IDX Composite hit a three-week low. Sentiment improved as factory activity in the country grew for a seventh straight month in February, marking its fastest pace in over three years, driven by Ramadan and Eid al-Fitr-related demand despite global uncertainty. Meanwhile, Bank Indonesia reaffirmed its commitment to ensure rupiah stability. Gains were capped, however, by local trade data showing January’s surplus fell short of forecasts amid rising imports. Meantime, U.S.stock futures dropped sharply, with a surge in oil prices linked to the Middle East conflict fueling inflation concerns. Nearly all sectors gained, led by energy, industrials, and non-cyclicals. Strong performers included Adaro Andalan Indonesia (5.6%), United Tractors (3.8%), Indo Tambangraya Megah (3.0%), and Japfa Comfeed (2.5%).
2026-03-03
Geopolitical Strife Pressures Indonesia Market
Indonesia’s IDX Composite fell 114 points, or 1.4%, to 8,118 on Monday, the first trading day of March, after a muted prior session. Nearly all sectors weakened, with cyclicals, infrastructure, property, and industry among the top laggards, as U.S. futures slumped following President Trump’s pledge to continue combat operations in Iran after three U.S. service members were killed. Traders also turned cautious ahead of key domestic data later today, including February inflation and trade figures, while concerns lingered that the upcoming PMI data in main trading partner China may reflect holiday-related weakness. Still, losses were cushioned by expectations of fiscal expansion through social programs during Ramadan and Eid al-Fitr. Among major decliners were Vale Indonesia (-5.1%), Unilever Indonesia (-3.8%), Charoen Pokphand (-3.5%), and Bank Mandiri (-2.4%). In contrast, energy stocks surged, led by Medco Energi (8.7%), Adaro Andalan Indonesia (8.1%), and Aneka Tambang (4.4%).
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