Jakarta. Indonesia’s benchmark equity index rose on Monday even as a mass protest outside the House of Representatives (DPR) in Jakarta descended into riots. The Jakarta Composite Index (JCI) ended the session up 68.05 points, or 0.87 percent, at 7,926.91, shrugging off unrest that saw demonstrators clash with police using tear gas and water cannons.

The protest drew thousands of students, workers, and activists voicing opposition to lawmakers’ pay hikes and a newly approved Rp 50 million ($3,000) monthly housing allowance, which critics say is out of touch with economic hardships faced by ordinary Indonesians.

Trading activity remained robust, with the JCI fluctuating between 7,915 and 7,951. Total turnover reached 46.96 billion shares valued at Rp 19.45 trillion across 2.37 million trades. Of the listed stocks, 449 advanced, 215 declined, and 143 were unchanged, pushing the Indonesia Stock Exchange’s market capitalization to Rp 14,280 trillion.

Sectoral performance was led by property, which jumped 3.65 percent, followed by infrastructure (+2.61 percent) and financials (+1.87 percent). Conversely, healthcare fell 0.4 percent, and consumer non-cyclicals slipped 0.23 percent.

The rupiah strengthened alongside equities, closing at Rp 16,259 per dollar, appreciating 92 points, or 0.56 percent, from Friday’s close of Rp 16,351. Market sentiment was buoyed by signals from US Federal Reserve Chair Jerome Powell’s Jackson Hole speech, which suggested a growing likelihood of a 25-basis-point rate cut at the September FOMC meeting. CME FedWatch currently prices an 87.2 percent probability of a cut.

“Powell highlighted easing inflation risks and rising concerns about labor market conditions, indicating a policy adjustment could be imminent,” Pilarmas Sekuritas said in a Monday note.

Domestic capital inflows also supported the market. Bank Indonesia recorded Rp 910 billion in foreign inflows into local financial markets during the third week of August, reflecting investor confidence in Indonesia’s external resilience. “This underscores BI’s ongoing efforts, alongside the government and other authorities, to maintain market stability,” Pilarmas noted.

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