Jakarta. Indonesia’s benchmark Jakarta Composite Index (JCI) opened at a fresh all-time high of 9,007 on Wednesday, climbing 0.65% or 59 points in early trade, with the index moving within a range of 8,987 to 9,021.

Market activity was relatively active. RTI data showed trading volume at 3.45 billion shares, with turnover reaching Rp 2 trillion ($118.58 million) across more than 200,000 transactions. A total of 313 stocks advanced, 164 declined, and 202 were unchanged.

From the global front, US inflation data came in stable. Headline consumer price inflation rose 0.3% month-on-month, while the year-on-year rate held steady at 2.7%. Core CPI also remained unchanged at 2.6% year-on-year. Pilarmas Investindo Sekuritas said the steady inflation trend could signal a potential easing path ahead, providing room for the Federal Reserve to maintain its policy stance at the upcoming Jan. 29 meeting.

At the same time, wage indicators showed improvement. Real average hourly earnings rose to 1.1% year-on-year from 0.9%, while weekly earnings also increased to 1.1% from 0.9%. Pilarmas noted that wage growth remains closely monitored by the Fed, as it reflects future consumer spending expectations, a key driver of the US economy.

The brokerage also highlighted rising political tension surrounding US monetary policy. Pilarmas said Fed Chair Jerome Powell, for the first time, pushed back against pressure from former president Donald Trump, while gaining support from several other central banks. Powell openly questioned whether interest rate decisions should be based on political intimidation or actual economic needs. Trump has also reportedly targeted Fed Governor Lisa Cook as part of efforts to replace officials seen as obstacles to faster rate cuts.

Domestically, sentiment was supported by the government’s plan to strengthen Indonesia’s digital economy framework through the development of a semiconductor ecosystem. The initiative includes cooperation with the United Kingdom and initial funding of $125 million for collaboration with chip designer ARM. Pilarmas said the move could boost foreign and domestic investment, strengthen high value-added manufacturing, reduce reliance on imported technology components, and support long-term growth in Indonesia’s digital economy.

Overnight, Wall Street retreated from record highs amid a mixed start to the US earnings season. The S&P 500 slipped 0.2%, the Dow Jones Industrial Average fell 398 points or 0.8%, and the Nasdaq Composite edged down 0.1%. In total, the S&P 500 dropped 13 points to 6,963, the Dow fell to 49,191, and the Nasdaq declined 24 points to 23,709.

Analysts expect companies in the S&P 500 to post earnings per share growth of 8.3% year-on-year for the final quarter of 2025, according to FactSet, adding pressure on firms to justify elevated valuations.

Asian markets were mixed on Wednesday.

Japan’s Nikkei gained 0.51% to 53,827 amid expectations that Prime Minister Sanae Takaichi may call a snap election to strengthen her mandate for higher government spending.

South Korea’s Kospi dipped 0.14% at the open before rebounding to 4,693, while Hong Kong’s Hang Seng rose 0.46% to 26,971. China’s Shanghai Composite opened flat.

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