IHSG Likely to Continue Its Rally, Supported by Positive Global and Domestic Sentiment

The Indonesian stock market is entering a promising phase as investors show renewed confidence. The Jakarta Composite Index (IHSG) continues to strengthen, closing at 8,318 on November 6, 2025, up 0.93%, supported by increased buying volume and positive regional cues. Analysts see this momentum as part of a sustained uptrend supported by both technical and fundamental factors.

Technical Perspective

According to Herditya Wicaksana, Technical Analyst at MNC Sekuritas, IHSG remains above its 20-day moving average (MA20), signaling that the bullish trend is still intact.
“The index strengthened by 0.93% to 8,318 amid higher buying activity. As long as IHSG stays above the MA20 level, the upward trend is expected to remain valid,” Herditya explained.

Analyst Outlook: Limited Upside but Still Positive

Maximilianus Nico Demus, Associate Director of Research and Investment at Pilarmas Investindo Sekuritas, predicts that IHSG could see limited strengthening within the 8,160–8,320 range. The outlook is supported by improved U.S. economic data, stable domestic fundamentals, and easing market concerns over global trade policies.

Global Sentiment

Positive sentiment in global markets stems from better-than-expected U.S. economic indicators. The ADP Employment Change report showed a gain of 42,000 new private sector jobs in October, far exceeding expectations, while the ISM Services Index rose to 52.4 from 50, reflecting expansion in the service sector — the backbone of the U.S. economy.

Additionally, skepticism from the U.S. Supreme Court over former President Donald Trump’s tariff policies boosted optimism for potential tariff refunds exceeding USD 100 billion, which could influence future U.S. trade dynamics.
This combination of robust labor data and service sector expansion helped U.S. stock markets close higher on Wednesday night, providing a positive spillover effect for Asian markets, including Indonesia.

Domestic Catalysts

Domestically, sentiment was lifted by the latest MSCI Index update, where BREN and BRMS were officially added to the Global Standard Indexes, while ICBP and KLBF were removed.
In the Small Cap Index, DSNG, ENRG, KLBF, MSIN, RAJA, WIFI, and TINS were added, while BRMS, SMSM, and ULTJ were excluded.
This reclassification is expected to trigger buying interest in newly listed stocks due to potential capital inflows from global institutional investors.

Indonesia’s Economic Strength

Indonesia’s economy remains resilient despite global challenges. The GDP grew 5.04% in Q3 2025, slightly lower than the previous quarter’s 5.12%, but still reflecting strong household consumption and purchasing power.
Analysts believe this indicates that the national economy is still on a positive growth trajectory, even amid external pressures such as slowing exports and global interest rate uncertainty.

With strong domestic fundamentals, encouraging global cues, and improved investor confidence, the Indonesian stock market remains on solid footing.
📈 Keep monitoring your portfolio and look out for buying opportunities in sectors that benefit from global recovery and institutional inflows.

The consistent performance of IHSG reflects Indonesia’s economic resilience amid global uncertainty. As investors balance optimism with prudence, the market’s next move will likely depend on sustained macroeconomic stability and continued foreign capital inflows.

Satra Sinar Abadi Group