Jakarta. Indonesian stocks erased an early gain and plunged into negative territory on Wednesday, with the Jakarta Composite Index (JCI) moving between 6,422 and 6,509 in the opening minutes of trade.

JCI had initially edged up 5 points, or 0.08%, to 6,507. By mid-morning, however, selling pressure had pushed the index sharply lower.

According to RTI data, 1.26 billion shares changed hands in 117,565 transactions, with a total trading value of Rp684.66 billion ($38.7 million). Some 156 stocks advanced, while 287 declined and 240 were unchanged.

Phintraco Sekuritas said investors were also monitoring the Indonesia Stock Exchange's periodic review of 14 stock indices, which will take effect from Sept. 1, 2026, with implementation periods varying by index.

The indices under review include ABX, DBX, MBX, IDXVESTA28, ECONOMIC30, SRI-KEHATI, ESGQKEHATI, ESGSKEHATI, Investor33, ISSI, JII, JII70, IDXSHAGROW, and IDXMESBUMN.

The brokerage also highlighted President Prabowo Subianto's target to develop 100 gigawatts peak (GWp) of solar power capacity within the next two to three years. The program will begin with 14 solar power plants across West Java, Central Java, East Java, Bali, Bangka Belitung, and the Riau Islands, with a combined capacity of 5.3 GWp.

"If completed within the targeted timeframe, this project is expected to have a positive impact on infrastructure, construction, employment, reduced dependence on fossil fuels, and the renewable energy sector," Phintraco Sekuritas said.

Pluang Research, meanwhile, said renewable energy company Arkora Hydro (ARKO) had completed the acquisition of a 100% stake in Endorshine Energy Solutions (EES) through its subsidiaries Arkora Tenaga Matahari and Arjuna Hidro.

The transaction became effective on Aug. 12 and was announced to the Indonesia Stock Exchange on Aug. 25. EES is engaged in renewable energy project installations and currently operates solar power plants in Batam and Bintan.

"The key issue for investors to watch is the possibility of further corporate action. ARKO's debt-to-equity ratio is already close to two times, with total debt exceeding Rp1 trillion as of the second quarter of 2026, leaving limited room for additional borrowing," said Jason Gozali, Head of research at Pluang Maju Sekuritas

"At the same time, acquisition opportunities in the solar sector are opening up amid the push for 100 GWp of solar capacity and strong demand for green electricity from data center operators. We see a fairly high probability that ARKO will pursue a rights issue within the next 12 months, particularly if it intends to continue its inorganic growth strategy following the EES acquisition," the analyst added.

For long-term investors, such a move could become a positive catalyst if the funds raised are deployed directly into revenue-generating assets, although share dilution could weigh on the stock in the short term.

The 100 GWp solar program is estimated to require $73 billion in investment and could generate annual savings of Rp73.9 trillion through the use of solar power and battery energy storage.

Global sentiment was broadly positive but remained cautious ahead of US inflation data and Nvidia's earnings report.

Kiwoom Sekuritas Indonesia said the rebound in technology and semiconductor stocks suggested investors were beginning to reposition after the previous sell-off. However, elevated expectations for Nvidia's results also increased the risk of a "buy the rumor, sell the news" reaction.

"Nvidia's revenue is expected to nearly double year-on-year to around $92 billion, so results that do not significantly exceed expectations could trigger profit-taking," Kiwoom said.

From a trading perspective, investors will be watching whether Nvidia's earnings can lift valuations across the artificial intelligence sector or instead trigger another round of profit-taking.

Wall Street closed higher on Tuesday, led by a rebound in technology stocks after the sector came under pressure in the previous session. The S&P 500 gained 0.32%, while the Nasdaq Composite rose 0.66% and the Dow Jones Industrial Average added 0.30%.

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