Jakarta. Jakarta Composite Index (JCI) ended the first session of intraday trading sharply lower on Thursday, closing at 7,828, down 492 points or 5.91%, after trading was briefly halted earlier in the session when losses deepened to as much as 10%.

The index moved within a 7,481–8,049 range during the session. Total trading volume reached 42.91 billion shares, with turnover at Rp 32.75 trillion ($1.95 billion) across more than 2.5 million transactions. Market breadth was deeply negative, with 720 stocks declining, 65 advancing, and 22 unchanged.

Trading was temporarily suspended at 09:26 Jakarta Automated Trading System (JATS) time after the JCI slid 8% to 7,654. According to an official statement, Indonesia Stock Exchange (IDX) implemented the trading halt to stabilize the market, before resuming trading at 09:56 JATS time without any changes to the trading schedule.

However, selling pressure persisted after the market reopened. The index dropped 8.34% to 7,627, and briefly extended losses to 10.04% at 10:00 a.m. By 10:07 a.m., the JCI remained firmly in negative territory, still trading within the 7,481–8,049 intraday range.

Data up to that point showed 13.07 billion shares changing hands, with transaction value at Rp 10.98 trillion and 863,333 transactions recorded. A total of 658 stocks weakened, while only 33 gained and 20 were flat.

The index had already opened sharply lower at 8,027, and remained under pressure throughout the morning, moving consistently in the red within a 7,654–8,049 range.

Market sentiment was further weighed down by global brokerage reassessments. Research cited from Phintraco Sekuritas noted that UBS downgraded Indonesian equities to neutral from overweight, citing MSCI concerns over investability issues such as free float levels, liquidity, and regulatory certainty.

UBS warned that pressure on the domestic equity market could persist until clearer outcomes emerge from MSCI’s reassessment, adding that rising policy risks, particularly the government’s revocation of business permits for several companies, could worsen global investor perceptions of Indonesia’s regulatory stability.

Despite foreign ownership still being at overweight levels, UBS said market flexibility had narrowed.

Similar concerns were echoed by Goldman Sachs, which downgraded Indonesian stocks to underweight and warned of potential significant capital outflows should an MSCI downgrade materialize.

On Wednesday, the JCI had also triggered a trading halt at 13:43 JATS time, following MSCI’s announcement on the free float assessment of Indonesian-listed companies released on Tuesday.

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