Jakarta. Indonesia’s stock market kicked off 2026 on a positive note, with the Jakarta Composite Index (JCI) opening higher on Friday as investors cautiously returned after the year-end lull, balancing technical optimism against lingering global and domestic headwinds.

The benchmark index rose 30 points, or 0.34%, to 8,676 in early trade, moving within a narrow range of 8,676–8,691. Trading activity remained thin in the opening minutes, with 737.2 million shares changing hands, turnover reaching Rp 467.5 billion ($27.97 million), and transaction frequency at 88.6 thousand.

CGS International Sekuritas Indonesia said the JCI is still moving within a minor consolidation phase and has the potential to confirm a bullish flag pattern, which could signal a continuation of the upward trend. However, the brokerage urged caution, noting that market participants remain largely in a wait-and-see mode.

Negative catalysts persist, including foreign investors’ net selling in the JCI during Tuesday’s session and recent corrections in several global commodity prices, which could weigh on sentiment in the near term.

Looking ahead, CGS said global market direction in 2026 is expected to be heavily influenced by US monetary policy, as investors assess fresh economic data and expectations of a more dovish Federal Reserve leadership, fueling bets on further interest rate cuts.

In its final session of 2025, Wall Street finished lower, extending the market’s losing streak to four days.

The S&P 500 fell 0.7%, the Dow Jones Industrial Average slipped 0.6%, and the Nasdaq Composite dropped 0.8%. Trading volume was notably thin ahead of the New Year’s Day holiday, as most large investors had already closed their books for the year.

Despite the late-year pullback, US equities still delivered strong annual performances. The S&P 500, which notched 39 record highs in 2025, closed the year up 16.4%, marking its third straight double-digit gain. The Nasdaq advanced 20.4%, while the Dow ended 2025 up 13%.

Wall Street’s gains last year were driven largely by optimism surrounding artificial intelligence and its potential to boost corporate profits across sectors, although volatility persisted amid President Donald Trump’s on-and-off tariff policies and uncertainty over the future path of interest rates. All S&P 500 sectors closed in negative territory on Wednesday, led by declines in technology stocks.

In Asia, markets were mixed as Japan’s Nikkei and China’s Shanghai Stock Exchange remained closed for the New Year holiday. South Korea’s Kospi opened at 4,224, rising 0.23%, while Hong Kong’s Hang Seng Index jumped 0.33% to 25,717.

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