FX.co ★ Indonesia Shares Track Back-to-Back Weekly Losses

Indonesia’s IDX Composite rose 27 points, or 0.4%, to 6,488 in Friday morning trading, extending earlier gains after Wall Street’s overnight rally, as oil prices eased and US Treasury yields retreated in the wake of the Fed’s latest rate hike shock. On the domestic front, Finance Minister Suahasil Nazara pledged to maintain a credible budget, with economists highlighting his strong fiscal credentials and long-standing experience at the ministry.

Gains in energy, technology, and basic materials stocks drove the index higher, though declines in financials and infrastructure limited the upside. Notable movers included Mitra Adiperkasa (up 3.4%), Medco Energi (1.6%), Hartadinata Abadi (1.4%), and Vale Indonesia (1.1%).

Despite the day’s advance, the market remains on track for a second straight weekly loss, down about 0.8% so far, amid mounting inflation worries linked to firmer oil prices and looming El Niño risks. Investor caution also persisted ahead of Bank Indonesia’s policy meeting next week, with renewed rupiah weakness and signs of foreign capital outflows dampening sentiment.