ASIATODAY.ID, JAKARTA – Stock trading on the Indonesia Stock Exchange (IDX) showed something unusual.
The reason is, the composite stock price index (IHSG) fell 395.8 points (6.12%) to the level of 6,076.08 on Tuesday, March 18, 2025. This condition occurred precisely when the Asian stock index was positive.
With this condition, the Indonesia Stock Exchange (IDX) has halted trading on the trading system starting at 11:19:31 Jakarta Automated Trading System (JATS) time.
The trading freeze was triggered by a decline in the Composite Stock Price Index (IHSG) which reached more than 5 percent.
“We hereby inform you that today, Tuesday, March 18, 2025, there has been a trading halt on the trading system at the Indonesia Stock Exchange (IDX) at 11:19:31 Jakarta Automated Trading System (JATS),” said IDX Corporate Secretary Kautsar Primadi Nurahmad in Jakarta, Monday.
This was done in accordance with the Decree of the IDX Board of Directors Number: Kep-00024/BEI/03-2020 dated March 10, 2020 concerning Changes to the Guidelines for Handling Trading Continuity at the Indonesia Stock Exchange in Emergency Conditions.
Meanwhile, trading will resume at 11:49:31 JATS time without any changes to the trading schedule.
According to Pilarmas Investindo Sekuritas, this IHSG condition occurred because it was hit by domestic sentiment in Indonesia.
Pilarmas explained that this domestic sentiment is the attitude of market players who respond to concerns about Indonesia’s economic conditions, as stated in the results of a survey conducted by the Institute for Economic and Community Research, University of Indonesia (LPEM UI). The results of the survey conducted by LPEM UI revealed that the majority of 55% of economists agreed that Indonesia’s current economic conditions are worse compared to three months ago.
“So the survey results indicate that current conditions trigger a pessimistic view of the prospects for future economic growth, while also highlighting the possibility of a decline,” Pilarmas wrote in his research, Tuesday, March 18, 2025. In addition, Pilarmas continued, the issue related to Sri Mulyani resigning from her position as Minister of Finance in the Red and White cabinet, of course this will have an impact on the potential for a decline in the credibility of government finances and trigger a capital outflow.
Although the news was denied by the palace through the Spokesperson for the Presidential Communications Office that the information circulating regarding Sri Mulyani’s resignation as Minister of Finance was not true, aka a hoax. The issue has also been denied by the Deputy Speaker of the Indonesian House of Representatives.
“However, the market seems to be waiting for direct clarification from Sri Mulyani,” said Pilarmas.
Previously, the market was also shrouded in concerns about slowing domestic economic growth as a result of the widening APBN deficit, and also the market response to market doubts about sovereign wealth funds, as well as the downgrade of shares in Indonesia by the Morgan Stanley and Goldman Sachs Institutions.
Asian Stocks Strengthen
Meanwhile, Pilarmas said the Asian stock index strengthened, supported by the release of US retail sales data which increased 0.2% in February 2025 from the previous decline of 1.2% in January 2025.
“With the improvement in retail sales, of course this reduces concerns regarding the possibility of a recession in the US,” added Pilarmas.
In other news, US President Donald Trump announced on Monday, March 17 that Chinese leader Xi Jinping will soon visit Washington amid rising trade tensions.
Trump, speaking at an event in Washington, noted recent visits by other world leaders and said a Xi visit was imminent.
“Of course this can ease tensions between the two countries that have the largest economic powers. Other positive sentiment is also driven by increasing optimism about China’s economic prospects,” Pilarmas said.
This follows upbeat retail sales data and China’s new initiatives aimed at boosting consumer spending. And Beijing introduced a special action plan aimed at boosting consumer spending and stabilizing the stock and real estate markets.
In the first session today, stocks that experienced increases included FMII, ANJT, TRIN, TARA, WGSH. Meanwhile, stocks that experienced the biggest declines were MINA. FORU, SMDM, DNAR, UANG. (AT Network)
Follow Us at Google News and WA Channel