TheJakartaPost
Please Update your browser
Your browser is out of date, and may not be compatible with our website. A list of the most popular web browsers can be found below.
Just click on the icons to get to the download page.
Popular Reads
Top Results
No results found. Please check your search term and try again
Can't find what you're looking for?
View all search results
Popular Reads
Top Results
No results found. Please check your search term and try again
Can't find what you're looking for?
View all search resultsIDX reaches new all-time high after BI’s surprise rate cut
The IDX Composite climbed another 0.5 percent to 8,065.74 points in Thursday's opening session before slipping to close 0.21 percent lower at 8,008.43 points.
Change text size
Gift Premium Articles
to Anyone
Share the best of The Jakarta Post with friends, family, or colleagues. As a subscriber, you can gift 3 to 5 articles each month that anyone can read—no subscription needed!
A screen at the Indonesia Stock Exchange (IDX) in Jakarta shows stock quotes on Jan. 2. The IDX Composite Index closed 0.38 percent higher at 6,638.45 on Friday. (Antara Foto/Hafidz Mubarak A) (Antara Foto/Hafidz Mubarak A)
T
he Indonesia Stock Exchange (IDX) Composite Index hit a new all-time high this week, with analysts expecting the rally to continue following Bank Indonesia’s (BI) fifth rate cut of the year.
The benchmark index closed Wednesday up 0.85 percent at 8,025.17 points, setting a fresh record and pushing market capitalization to an unprecedented Rp 14.5 quadrillion (US$880.8 billion).
The rally carried into Thursday’s opening session, with the IDX Composite climbing another 0.5 percent to 8,065.74 points before slipping to close 0.21 percent lower at 8,008.43 points.
Local brokerage Samuel Sekuritas stated in a note on Thursday that it expected the index to “move higher” on the back of positive sentiment following the benchmark rate cut.
BRI Danareksa Sekuritas likewise attributed the index’s new record to the central bank’s unexpected decision to lower interest rates, complemented by the United States Federal Reserve’s first rate cut of the year by 25 basis points (bps).
BI Governor Perry Warjiyo announced on Wednesday that the BI Rate was cut by 25 basis points to 4.75 percent, its lowest level since October 2022.
The surprise move caught most analysts off guard, as the majority had expected BI to pause after back-to-back cuts in the previous two months. The timing added to the drama, coming just hours ahead of the Fed’s closely watched rate decision.
Your Opinion Matters
Share your experiences, suggestions, and any issues you've encountered on The Jakarta Post. We're here to listen.
Enter at least 30 characters
0
/ 30
Thank you
Thank you for sharing your thoughts. We appreciate your feedback.
