FX.co ★ Indonesia Equities Under Pressure After Fitch Outlook Cut

Indonesia’s IDX Composite fell 166 points, or 2.2%, to 7,542 in early Friday trading, erasing the previous session’s gains after a weak lead from Wall Street overnight, in what has been a volatile week for global markets amid ongoing tensions in the Middle East. The benchmark index is heading for a second consecutive weekly loss and is down about 8% so far, after Fitch Ratings revised Indonesia’s outlook to negative from stable, citing mounting policy uncertainty and a deterioration in policy credibility amid increased centralization of decision-making.

Risk appetite was further pressured by China’s 2026 growth target of 4.5–5%, its lowest in decades, underscoring sluggish consumption and persistent stress in the property sector. Losses were broad-based, with nearly all sectors in the red, led by cyclicals, industrials, and energy. Among the notable decliners were Elang Mahkota Teknologi (-3.9%), Astra International (-3.2%), Alamtri Minerals (-1.7%), and Bank Tabungan Negara (-1.5%).

Market participants are now looking ahead to key Chinese macro releases next week, including CPI and PPI data, as well as the combined trade figures for January–February.