The Composite Stock Price Index (IHSG) opened up 7.80 points or 0.09 percent to 8,545.71 on Monday, December 29, 2025, fueled by market optimism ahead of the Santa Claus Rally. Investors are awaiting the release of December 2025 manufacturing Purchasing Managers’ Index (PMI) and Consumer Price Index (IHK) data. Analysts predict a potential technical rebound at the start of the new year despite the index remaining oversold.
The LQ45 index also rose 2.36 points or 0.28 percent to 847.80. This gain reflects market participants' optimism welcoming the Santa Claus Rally phenomenon, which historically occurs in the last five trading days of the year and the first two days of the new year, marked by a tendency for stock price increases.
Ratna Lim, Head of Research at Phintraco Sekuritas, stated, “IHSG is estimated to potentially test the 8,430–8,500 level in the short term. However, a technical rebound potential is open at the start of the new year in line with new hopes and the oversold IHSG condition.” The Phintraco Sekuritas Analysis Team added that technically, IHSG remains below the 5-day and 20-day moving averages, with a widening negative MACD histogram, though Stochastic RSI is in oversold territory without reversal indications.
Market participants are also monitoring The Fed's monetary policy for 2026, hoping for positive sentiment from the US tax law signed in July 2025 and continued interest rate cuts. This week, manufacturing PMI and December 2025 Consumer Price Index (IHK) data are scheduled for release.
On Wednesday, December 24, 2025, European markets were mixed: Euro Stoxx 50 up 0.10 percent, FTSE 100 down 0.19 percent, DAX up 0.23 percent. Wall Street closed lower: Dow Jones -0.04 percent to 48,710.79, S&P 500 -0.03 percent to 6,929.51, Nasdaq -0.05 percent to 25,644.69. Asian markets this morning were mixed: Nikkei -0.46 percent, Shanghai +0.44 percent, Hang Seng +0.85 percent, Strait Times +0.11 percent.
Although Binaartha Sekuritas analysts projected deeper correction with support at 8,510-8,550, today's opening indicates positive sentiment heading into year-end.
