Jakarta. Indonesia’s benchmark stock index opened lower on Wednesday, mirroring losses in global markets as declines in major US tech stocks and falling commodity prices dragged sentiment down ahead of the MSCI Semi-Annual Index Review announcement.

The Jakarta Composite Index (JCI) slipped 28 points, or 0.34 percent, to 8,213 in early trade, moving within a range of 8,181–8,227.

Trading volume reached 2.1 billion shares with a turnover of Rp 1.6 trillion ($95.56 million) across more than 170,000 transactions. A total of 149 stocks gained, 306 declined, and 191 were unchanged.

According to CGS International Sekuritas Indonesia, the weakening trend in Wall Street and the correction in most commodity prices, particularly gold, which fell below the key psychological level of $4,000 per ounce, are expected to weigh on local market performance. However, continued foreign buying is seen as a potential positive catalyst for the JCI.

Adding to market focus, Morgan Stanley Capital International (MSCI) is set to announce its Semi-Annual Index Review (SAIR) on Wednesday, with the changes taking effect on Nov. 25. The rebalancing process involves adjustments to global benchmark indices, determining which stocks are included or removed, factors that often influence cross-border fund flows.

BRI Danareksa Sekuritas explained that MSCI conducts four reviews annually, divided into two types: the Quarterly Index Review (QIR) in February, May, and August, which usually brings minor changes, and the Semi-Annual Index Review (SAIR) in May and November, which typically has a more significant impact due to broader adjustments in stock weights and constituents.

The firm noted that inclusion in the MSCI index can spark increased buying interest from foreign investors, improve short-term demand, enhance visibility among global investors, and ease access to international capital as large institutions take notice. Conversely, removal or weight reduction could trigger temporary selling pressure.

On the broader market, US stocks closed lower on Tuesday as major tech names led declines, pulling the S&P 500 and Nasdaq further from record highs. Nvidia slumped 4 percent, while Palantir Technologies tumbled 7.9 percent despite upbeat earnings. The S&P 500 slid 1.2 percent to 6,771.55, the Dow Jones Industrial Average fell 0.5 percent to 47,085.24, and the Nasdaq dropped 2 percent to 23,348.64.

Investor sentiment in the US was also dampened by an ongoing government shutdown that has halted key economic data releases, complicating the Federal Reserve’s rate-cut outlook. With inflation still above target and hiring showing signs of weakness, policymakers remain divided, and expectations for a December rate cut have eased to 70 percent from 90.5 percent a week ago.

Tracking Wall Street’s slide, Asia-Pacific markets opened in the red. Japan’s Nikkei fell 206 points or 0.40 percent, South Korea’s Kospi dropped 66 points or 1.6 percent, Hong Kong’s Hang Seng slipped 251 points or 0.97 percent, and Shanghai’s SSE was down 38 points or 0.96 percent.

Meanwhile, on the domestic front, the Indonesia Stock Exchange (IDX) reopened trading for Puri Global Sukses (PURI) shares starting from the first trading session on Wednesday after lifting a temporary suspension. IDX’s Head of Transaction Supervision Division, Yulianto Aji Sadono, said investors could now resume transactions in the stock on both the regular and cash markets.

At the same time, IDX announced new suspensions for Meta Epsi (MTPS), Totalindo Eka Persada (TOPS), and Kedaung Indah Can (KICI) due to significant cumulative price increases. The bourse also placed Trimegah Karya Pratama (UVCR) under its Unusual Market Activity (UMA) watchlist. IDX clarified that a UMA announcement does not necessarily indicate a regulatory violation in the capital market. Investors are advised to pay close attention to the issuers’ responses to IDX’s confirmation requests and to carefully observe each company’s performance and information disclosures.

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