Jakarta. Jakarta Composite Index (JCI) opened the week on the back foot, slipping sharply in early trade before extending losses as investors stayed cautious amid global uncertainty and awaited clarity on domestic market reforms.

The benchmark index shed 23.44 points, or 0.28%, to open at 8,306.16 in the first session on Monday, moving within a range of 8,250–8,313. Selling pressure intensified later in the morning, with the JCI tumbling to 7,972 by 9:31 a.m. Jakarta time, down 357 points or 4.25%.

Early trading activity was relatively active. Data from RTI showed 1.5 billion shares had changed hands in the opening minutes, with a trading value of Rp 1.29 trillion ($76.91 million) across 145,494 transactions. Market breadth was mixed, with 287 stocks advancing, 215 declining, and 170 remaining unchanged.

Sentiment was also shaped by regulatory developments. The Central Securities Depository (KSEI) recently confirmed that shareholder data for ownership below 5% will soon be made public, following a rule change by the Financial Services Authority (OJK), which allows disclosure starting from 1% ownership. Currently, the public can only access data for shareholders holding more than 5%.

KSEI, together with the Indonesia Stock Exchange (IDX) and OJK, is also scheduled to hold an online meeting with global index provider MSCI on Feb. 2, 2026, as part of efforts to address requests and reassure the firm about Indonesia’s commitment to improving market transparency and governance.

Pilarmas Investindo Sekuritas said the broader disclosure of shareholder data down to the 1% level could have a positive impact on Indonesia’s capital market. Greater transparency is expected to improve investor perception, particularly among institutional and foreign investors, as ownership structures become clearer and concentration risks can be assessed more accurately. The move is also seen as relevant in addressing MSCI’s concerns over investability and governance, potentially supporting Indonesia’s efforts to ease pressure from global index assessments.

In the near term, however, Pilarmas noted that the market will continue to scrutinize the consistency of the policy’s implementation and whether the data openness genuinely translates into stronger investor confidence. The brokerage added that market participants are likely to remain in a wait-and-see mode until there is a clearer picture of how the changes will be executed and how significant their impact will be on Indonesian equities.

Adding to the domestic narrative, Danantara, the Sovereign Wealth Fund, is expected to begin deploying funds more aggressively starting this week, a move widely anticipated to send a positive signal to the market.

Global cues remained a headwind. On Friday, Wall Street was volatile as investors weighed the implications of US President Donald Trump’s nomination of Kevin Warsh to lead the Federal Reserve. US stocks ended lower, with the S&P 500 down 0.4%, the Dow Jones Industrial Average falling 179 points or 0.4%, and the Nasdaq Composite losing 0.9%.

The US dollar strengthened after initial swings following Warsh’s nomination, while precious metals saw sharp declines, with gold and silver prices plunging after strong gains over the past year. Concerns that the Fed could lose some of its independence under political pressure had previously boosted gold prices and weighed on the dollar.

Some investors viewed Warsh’s nomination as a sign that the Fed could remain independent and keep interest rates high if needed, which would typically pressure stock prices. Others noted that Warsh has criticized current Fed chair Jerome Powell and has expressed support for lower rates. Thierry Wizman, a strategist at Macquarie Group, said Warsh has closely aligned with Trump on monetary policy since 2009, suggesting he could be quicker to cut rates when conditions allow.

In the region, Asian markets were mixed. Japan’s Nikkei rose 0.11% to 53,434, South Korea’s Kospi slipped 0.21% to 5,210, Hong Kong’s Hang Seng fell 0.65% to 27,785, and China’s Shanghai SSE declined 0.48% to 4,131.

Add as a preferred source on Google +