Faisal Maliki Baskoro, Jakarta – Indonesian stocks declined for a second straight week, with the benchmark index and market capitalization falling as higher oil prices and foreign selling weighed on investor sentiment.

The Jakarta Composite Index (JCI) fell 1.43% to 6,541.377 in the week through Sept. 11, from 6,636.475 a week earlier. The decline pushed the total market capitalization of the Indonesia Stock Exchange down 1.32% to Rp11,446 trillion ($696 billion).

Trading activity also weakened. Average daily turnover fell 14.88% to Rp16.36 trillion, while average daily volume dropped 26.34% to 36.09 billion shares. The average number of daily transactions declined 7.07% to 2.22 million.

Foreign investors recorded net selling of Rp690.19 billion on the final trading day of the week, bringing cumulative net foreign selling in 2026 to Rp71.42 trillion.

Investor sentiment was also affected by rising tensions between the US and Iran around the Strait of Hormuz, which pushed West Texas Intermediate and Brent crude above $100 a barrel and revived concerns about a renewed global energy-inflation shock.

The pressure on Indonesian equities was partly offset by stronger domestic and macroeconomic indicators.

Bank Indonesia reported that foreign-exchange reserves rose to $146.5 billion at the end of August, equivalent to 5.4 months of imports. The higher reserves provide an additional buffer for the rupiah and broader macroeconomic stability.

Large-cap companies also provided support. Bank Mandiri, Indonesia's biggest lender by assets, announced an interim dividend totaling Rp6.16 trillion, underscoring the resilience of the country's banking sector.

Consumer confidence improved in August, with the Bank Indonesia consumer confidence index rising 1.7 points to 118.5, reversing a four-month decline from April through July.

Source: https://jakartaglobe.id/business/indonesias-stock-market-loses-87-billion-as-foreign-selling-mount