Indonesia Stock Market Drops for Four Sessions Amid Tariff Threats

Market Decline: Indonesia's stock sector suffers a 6.1% slump with strong losses in financials and telecoms. However, the global outlook remains positive, illustrating a complex investment scenario.

Date: 11-02-2025

AI Rating: 5

**Market Performance**
The Jakarta Composite Index (JCI) has experienced a significant downturn, losing more than 420 points or 6.1% in the last four sessions, indicating a troubling trend for investors. With the latest close at 6,648.14, many investors are wary of continued declines.

**Sector Performance**
Key sectors contributing to the JCI's decline include financials and telecoms. Notably, Bank CIMB Niaga, Bank Mandiri, and several other banks reported losses, with declines of 2.33% and 2.91%, respectively. Indosat Ooredoo Hutchison saw a staggering drop of 13.51%, suggesting significant bearish sentiment in telecom.

**Global Influence**
Despite the losses in Indonesia, the global outlook was portrayed as positive, with rising oil prices and modest increases on Wall Street, which may provide underlying support to Asian markets, including Indonesia. The positive factors from international markets may counterbalance local declines to some extent.

**Tariff Concerns**
Investors are also influenced by potential tariff threats from the U.S. administration, including a 25% proposed tariff on steel and aluminum. This uncertainty creates a less favorable environment for global trade, which can extend to local markets.

Overall, while the recent performance of the JCI is concerning, the positive global influences and upcoming economic indicators in the U.S. could provide some reprieve. The expected consumer confidence index results in Indonesia could further shape investor sentiment.

Stocks: BCA BMRI ISAT AISA TLKM