Jakarta. Jakarta Composite Index (JCI) closed higher on Monday, lifted by easing geopolitical tensions after renewed optimism over a potential US-Iran agreement raised hopes for the reopening of the Strait of Hormuz, a key global oil shipping route.

JCI gained 44 points, or 0.72%, to close between 6,124 and 6,239.

Trading volume reached 27.26 billion shares with turnover totaling Rp 16.27 trillion ($917 million) across more than 2 million transactions. Gainers outpaced losers 470 to 236, while 114 stocks were unchanged.

Pilarmas Investindo Sekuritas said the rally was mainly driven by improving global sentiment amid growing expectations of a peaceful resolution between the United States and Iran.

“The global mood is improving as hopes rise for a US-Iran agreement. This has reduced geopolitical risks and created room for risk assets, including equities, to strengthen,” Pilarmas said in a research note on Monday.

The market optimism came after President Donald Trump said negotiations with Iran were “proceeding in an orderly and constructive manner.”

Meanwhile, regional officials told The Associated Press on Sunday that Washington was nearing an agreement with Tehran that could end the conflict, reopen the Strait of Hormuz, and lead Iran to relinquish its stockpile of highly enriched uranium.

The reopening of the Strait of Hormuz is seen as crucial for global oil price direction. The waterway, which connects the Persian Gulf to international markets, has been partially disrupted by the conflict, limiting crude shipments worldwide. Countries such as Japan rely heavily on oil transported through the strait.

Despite the positive momentum, Pilarmas said investors remained cautious as negotiations between the US and Iran were still ongoing and had yet to produce a final agreement.

Regional markets also strengthened on expectations that smoother global energy flows could support economic activity if the Strait of Hormuz reopens.

From the domestic side, Pilarmas noted that the JCI continued to face external pressures, including the rupiah’s weakness against the US dollar and Indonesia’s first-quarter 2026 balance of payments deficit, which widened to $9.15 billion.

“The deficit was larger than in the same period last year, raising concerns over Indonesia’s external resilience,” the brokerage said.

Across Asia, Nikkei 225 jumped 2.9% to 65,158, while the Shanghai Composite climbed nearly 1% to 4,152.

Markets in South Korea and Hong Kong were closed for holidays marking Buddha’s birthday.

On Friday, the S&P 500 rose 0.4%, the Dow Jones Industrial Average gained 0.6%, and the Nasdaq Composite added 0.2%.

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