Indonesia Equities Rally, Weekly Change Almost Flat

Indonesia’s IDX Composite slipped 32 points, or 0.5%, to 6,155 in Tuesday morning trade, marking its fifth straight decline as sentiment tracked weaker U.S. futures after a sell-off in chipmakers on Wall Street overnight dragged semiconductor gauges lower for a third day. Investors also stayed cautious ahead of the Federal Reserve’s policy decision later this week and earnings from major U.S. tech firms. Locally, uncertainty lingered over Bank Indonesia’s leadership transition following Perry Warjiyo’s abrupt resignation, with Senior Deputy Governor Destry Damayanti stepping in as acting governor until a successor is named. Losses were broad-based across financials, energy, industrials, and infrastructure, though declines were partly cushioned by falling crude oil prices, easing fiscal concerns for the net oil importer. Notable laggards included Medco Energi (-3.5%), Sarana Menara Nusantara (-2.0%), Mitra Adiperkasa (-1.4%), and Perusahaan Gas Negara (-1.0%).

Indonesian shares fell 24 points or 0.4% to 6,173 in early deals on Monday, marking a fourth consecutive retreat. Losses were broad-based across infrastructure, transport, non-cyclicals, and energy, as investors digested the unexpected resignation of Bank Indonesia Governor Perry Warjiyo. State Secretariat Minister Prasetyo Hadi confirmed President Prabowo Subianto had accepted Warjiyo's step-down, while senior deputy governor Destry Damayanti was named interim chief, citing personal reasons behind Warjiyo’s decision. Still, sentiment was cushioned by firmer U.S. futures and softer oil prices after a weekend pause in U.S.–Iran hostilities, with traders also eyeing the Fed’s rate call midweek. In main trading partner China, industrial profits rose 18.7% yoy in H1 2026, easing slightly from January–May’s 18.8% pace, underscoring uneven recovery despite policy support. Among notable laggards were Medco Energi (-3.8%), Indosat (-2.1%), Vale Indonesia (-1.6%), and Astra Intl. (-1.2%).

Shares in Indonesia dipped 95 points or 1.5% to 6,219 on Friday morning trade, retreating for the third session following a sell-off on Wall Street overnight after the Trump administration said it would impose new tariffs on 60 trading partners, replacing the temporary 10% tariffs that expire today. All major sectors were under pressure, led by cyclicals, transport, infrastructure, and basic materials. Among the biggest laggards were Petrindo Jaya Kreasi (-6.0%), Bumi Resources (-3.8%), Charoen Pokphand (-3.6%), and Bank Mandiri (-3.2%). Still, local markets are heading for a modest weekly rise, up around 0.2% so far to mark the third straight weekly advance. This was supported by an unexpected move by the central bank that paused its policy tightening following a total 100bps hike since May. Meanwhile, efforts to boost fiscal efficiency continue, with the government slashing its free school meals budget further and paring back defence and police budgets.