Jakarta Stocks Face Further Losses After 3.46% Slide as Traders Brace for 25-bp BI Rate Hike
Updated
Updated · VOI English · May 20
Jakarta Stocks Face Further Losses After 3.46% Slide as Traders Brace for 25-bp BI Rate Hike
2 articles · Updated · VOI English · May 20
JCI is expected to weaken again on Wednesday after Tuesday’s 3.46% drop left the index at 6,370.68.
Rumors that the government may channel coal, CPO and metal-mineral exports through a special state body triggered selling, stoking fears of price controls that could squeeze corporate margins.
Bank Indonesia’s policy decision is adding pressure, with consensus expecting a 25-basis-point rate increase to 5% to help stem rupiah weakness.
President Prabowo is also due to address parliament on the 2027 macroeconomic framework and fiscal policy, while April credit growth is seen edging up to 9.7% year on year from 9.49% in March.
The latest selloff follows Tuesday’s broader market stress, when the rupiah fell to 17,720 per dollar and Indonesian stocks were hit by global index removals.
As Indonesia's markets tumble, could a new state export agency deepen the crisis of investor confidence?
Caught between Chinese trade and a new US pact, can Indonesia's economy survive being a geopolitical battleground?
Prabowo claims Indonesia's economy is strong, but will a new US trade deal sacrifice its environment for stability?