Indonesia Stocks Open Week Lower

Indonesian shares fell 50 points, or 0.7%, to 6,975 in early Monday trade, extending prior-session losses amid a drop in U.S. futures after President Trump threatened strikes on Iran’s power plants and bridges if Tuesday, 00:00 GMT, does not reopen the strategic waterway. Investors also weighed news that Danantara’s sovereign wealth fund unit signed deals on April 1 to acquire investment management arms of state-owned banks Mandiri, BRI, and BNI, along with PT Permodalan Nasional Madani, for IDR 2.7 trillion, pending approval. On the data front, manufacturing momentum weakened in March, with PMI readings near stagnation as demand softened, while February’s trade surplus narrowed on slowing exports and elevated imports. Sectoral weakness was led by non-cyclicals, property, and healthcare, partly offset by gains in cyclicals, industrials, and energy. Notable decliners included GojekTokopedia (-3.8%), Merdeka Copper Gold (-2.5%), Charoen Pokphand (-1.6%), and Aneka Tambang (-1.4%).

Indonesia’s IDX Composite fell 79 points, or 1.1%, to 7,105 in the Thursday morning session, reversing the prior day’s rally as U.S. futures slumped after President Trump signaled further military strikes against Iran. In a national address, Trump framed the war as an “investment in the future” and suggested operations could conclude within a month. Locally, February’s trade surplus narrowed as exports remained subdued while imports grew at a double-digit pace. Nearly all sectors declined, dragged by industrials, infrastructure, basic materials, and energy. Still, losses were cushioned by softer inflation. Headline CPI eased to 3.48% in March, back within the central bank’s target, while core inflation also fell, pointing to weaker demand. Notable laggards included Barito Pacific (-4.1%), Vale Indonesia (-3.9%), Bumi Resources (-3.4%), and Pertamina Geothermal (-2.4%). Weekly, local markets stabilize after losses in the prior five periods. The IDX will close tomorrow for Good Friday.

Indonesia’s stock market jumped 135 points, or 1.9%, to 7,184 in early trade on the first trading day of April, rebounding from the prior session’s weakness as Wall Street’s rally overnight boosted risk appetite. Hopes of de-escalation in the Iran conflict mounted as the White House said President Trump will deliver an update on Iran in his address to the nation later today. Traders also welcomed reports that Jakarta has secured rice reserves of 4.3 million tons to guard against prolonged El Niño disruptions. However, gains were capped by caution ahead of domestic releases later today, including February trade and March inflation. Consumer prices rose 4.76% in February, marking a near three-year high above Bank Indonesia’s target, while January imports spiked ahead of the festive period. Strength was broad-based, led by cyclicals, basic materials, and industrials. Top movers included Unilever Indonesia (7.7%), Vale Indonesia (6.1%), Merdeka Copper Gold (4.5%), and Aneka Tambang (3.4%).