Jakarta. Jakarta Composite Index (JCI) closed lower on Tuesday, shedding 77 points, or 0.96%, to 7,939 amid mounting geopolitical and inflation concerns.

The index moved within a range of 7,932 to 8,098. Trading activity remained heavy, with more than 47.19 billion shares changing hands and turnover reaching Rp 29.88 trillion ($1.76 billion) across over 2.9 million transactions. Gainers slightly trailed decliners, with 343 stocks advancing, 347 falling, and 128 unchanged.

On the gainers board, Megapower Makmur (MPOW) surged 34.38%, Royaltama Mulia Kontraktorindo (RMKO) climbed 25%, Arthavest (ARTA) jumped 24.19%, and Ifishdeco (IFSH) rose 23.81%.

Meanwhile, Supra Boga Lestari (RANC) slid 14.89%, Satria Mega Kencana (SOTS) dropped 14.88%, Indospring (INDS) fell 14.84%, and Royalindo Investa Wijaya (INDO) declined 14.81%.

Pilarmas Investindo Sekuritas said the JCI moved fluctuatively throughout the session as investors weighed both external and domestic pressures.

Externally, regional markets were mixed as global sentiment was overshadowed by inflation fears tied to escalating tensions in the Middle East. Coordinated strikes by the United States and Israel on targets in Iran, along with growing threats to oil shipments through the Strait of Hormuz, pushed global crude prices higher.

Pilarmas said the spike in energy prices has intensified concerns over rising costs that could dampen global growth and stoke inflation. Reports that senior US officials are preparing a significant escalation of military action against Iran further signaled that the conflict may not end soon.

In US domestic politics, Pilarmas noted that Congress remains divided. Republicans back the president’s actions, while Democrats are planning a vote this week on war powers authority, which constitutionally rests with Congress.

On the domestic front, Pilarmas said selling pressure persisted as Indonesia’s reliance on oil imports leaves the economy vulnerable to higher global energy prices. The firm warned that a sustained increase in oil prices could lift domestic inflation, strain the state budget and widen the fiscal deficit, potentially weighing on economic growth.

Still, Bank Indonesia reiterated its commitment to maintaining inflation and financial system stability, especially ahead of Lebaran and amid global uncertainty.

Across Asia, shares mostly declined as oil prices surged on supply risk concerns. Brent crude added $2.58 to $80.30 per barrel after volatile trading earlier in the week.

In South Korea, the benchmark index dropped 7.2% to 5,791 as markets reopened after Monday’s holiday. Japan’s Nikkei 225 fell 3.1% to 56,279, pressured by concerns over potential disruptions in the Strait of Hormuz, a key route for the country’s oil and gas imports. Analysts noted Japan holds stockpiles sufficient for more than 200 days, limiting immediate risk.

Energy and defense-related shares in Japan retreated, with Eneos Corp. down 3.4%, Idemitsu Kosan off 3.1%, Mitsubishi Heavy Industries plunging 5.3%, and IHI losing 4.9%.

Hong Kong’s Hang Seng declined 1.2% to 25,737.86, while the Shanghai Composite slipped 1.4% to 4,122.

On Wall Street, markets recovered from earlier losses. The S&P 500 edged up less than 0.1% to 6,881.62, the Dow Jones Industrial Average dipped 0.1% to 48,904.78, and the Nasdaq Composite gained 0.4% to 22,748.86.

Strategists at Morgan Stanley led by Michael Wilson said US equities would likely face more sustained pressure only if oil prices climb above $100 per barrel.

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