The Composite Stock Price Index (IHSG) of the Indonesia Stock Exchange (IDX) closed down on Friday (2/8) afternoon following the weakening of the Asian stock exchanges. IHSG closed down 17.85 points or 0.24% to 7,308.12. The group of 45 leading stocks or the LQ45 index fell 6.13 points or 0.66% to 919.36.
“Asian stock exchanges tend to weaken. The market seems to anticipate a global economic slowdown. This is due to the release of United States (US) data and concerns about the spread of conflict in the Middle East,” said the Pilarmas Investindo Sekuritas Research Team in its study in Jakarta, Friday.
From abroad, the United States (US) manufacturing PMI index in July 2024 contracted from the previous 48.5 to 46.8, and US unemployment data also continued to increase where Initial Jobless Claims data rose from the previous 235k to 249k and Continuing Jobless Claims rose from the previous 1,844,000 to 1,877,000.
At the same time, the market is also considering the risk of crude oil supply due to increased geopolitical tensions in the Middle East. Markets are closely monitoring Iran’s response to the assassination of Hamas leader Ismail Haniyeh, following the killing of Hezbollah’s top commander in an airstrike in Beirut.
Domestically, data from the Ministry of Manpower revealed an increase in layoffs (PHK) throughout the first semester of 2024 compared to the same period last year. In the period January-June 2024, there were 32,064 workers who were laid off. The number of layoffs increased by 21.45% compared to the same period last year which was only 26,400 people. This indicates the effect of global economic uncertainty has an impact on weakening domestic economic growth.
Opening lower, IHSG remained in negative territory until the close of the first session of stock trading. In the second session, IHSG remained in the red zone until the close of stock trading.
Also read: IHSG Strengthens Past 7,250 Awaiting Fed Policy
Based on the IDX-IC Sectoral Index, three sectors strengthened, led by energy by 0.80%, followed by non-primary consumer goods and property, which rose by 0.57% and 0.46% respectively. Meanwhile, eight sectors fell, namely transportation & logistics, which fell the deepest at minus 0.96%, followed by infrastructure and raw materials, which fell by minus 0.88% and 0.73% respectively.
The stocks that experienced the biggest gains were DART, TGUK, HALO, RAAM, and DSSA. While the stocks that experienced the biggest declines were CAMP, HELI, URBN, MBTO, and IOTF.
The frequency of stock trading was recorded at 898,938 transactions. The shares traded were 14.17 billion shares worth Rp9.62 trillion. The price of 240 shares rose, 295 shares fell, and 255 did not move.
The regional Asian stock exchanges this afternoon included the Nikkei index weakening by 2,216.60 points or 5.81% to 35,909.69; the Hang Seng index weakening by 359.45 points or 2.08% to 16,945.50; the Shanghai index weakening by 27.04 points or 0.92% to 2,905.34; and the Strait Times index weakening by 36.66 points or 1.07% to 3,383.17. (Ant/Z-2)
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