Jakarta. Indonesia’s benchmark stock index fell more than 1% by Tuesday’s intraday close as investors turned cautious ahead of MSCI’s rebalancing announcement, while foreign selling pressure and a weakening rupiah added to market jitters.

Jakarta Composite Index (JCI) dropped 98.49 points, or 1.43%, to 6,807. at the intraday close on Tuesday, after moving within a range of 6,802 to 6,977.

Data from the Indonesia Stock Exchange (IDX) showed that 18.89 billion shares changed hands during the first trading session, with transaction value reaching Rp 7.5 trillion across 1,491,031 trades.

Market breadth remained negative, with 456 stocks declining, compared to 192 gainers, while 166 stocks were unchanged. Blue-chip stocks grouped in the LQ45 index also fell 0.83%.

Investor caution ahead of MSCI’s rebalancing announcement, continued foreign outflows, and rupiah weakness were seen as key negative catalysts for the market.

“The JCI is expected to move mixed with a weakening bias, with support levels at 6,845-6,785 and resistance at 6,965-7,025,” CGS International Sekuritas Indonesia wrote in a note on Tuesday.

Additional pressure came from currency market weakness. BRI Danareksa Sekuritas (BRIDS) said that the rupiah weakened another 0.53% to Rp 17,505 per US dollar, heightening concerns over capital outflows from the domestic market.

Global sentiment also deteriorated amid escalating US-Iran geopolitical tensions, which kept oil prices elevated and triggered a broader risk-off mood across financial markets.

“In addition, the market is closely monitoring MSCI’s announcement regarding the potential reduction in Indonesia’s weighting in global indices, which could add further pressure on rupiah-denominated assets and the JCI,” BRIDS said.

Across Asia, markets traded mixed by intraday close. Hong Kong’s Hang Seng rose 0.15%, while Japan’s Nikkei gained 0.4%. Meanwhile, Singapore’s Straits Times slipped 0.04% and China’s Shanghai Composite fell 0.52%.

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