The Composite Stock Price Index (IHSG) is projected to move sideways on trading Wednesday, February 4, 2026, as market participants focus on Indonesia's capital market reforms. The Financial Services Authority (OJK) plans to expand investor data into 27 sub-types to boost transparency, as requested by MSCI. Despite a strong rebound the previous day, forecasts indicate potential correction if key levels are not breached.
On the close of Tuesday, February 3, 2026, the IHSG rebounded, gaining 199.87 points or 2.52 percent to 8,122.60, in line with the LQ45 index which rose 17.48 points or 2.17 percent to 823.72. This strengthening was driven by regulatory transparency on the Morgan Stanley Capital International (MSCI) issue, domestic bargain hunting ahead of full-year 2025 earnings reports, and a technical rebound from oversold conditions. "The transparency factor from the regulator regarding the MSCI issue," said Muhammad Wafi, Head of Research at PT Korea Investment and Sekuritas Indonesia.
For Wednesday's trading, analysts project the IHSG to consolidate in the range of 7,950-8,400, with potential for sideways movement or further correction if it fails to break above 8,300. Ratna Lim from Phintraco Sekuritas stated, "The IHSG is expected to potentially consolidate in the range of 7,950-8,400." Meanwhile, Fanny Suherman from BNI Sekuritas predicts flat movement, with support at 7,900-8,000 and resistance at 8,175-8,300. Ivan from BInaartha Sekuritas added that Tuesday's impulsive pattern indicates correction if below 7,762.
Key reforms include the OJK and Self Regulatory Organization (SRO) opening investor data from 9 to 27 sub-types, covering private equity, government, and peer-to-peer lending, classified by affiliation. This step meets MSCI's transparency demands. Additionally, Finance Minister Purbaya Yudhi Sadewa formed a committee to select OJK leadership to maintain financial sector stability.
Market participants are also awaiting the release of domestic Q4-2025 GDP growth, US ISM PMI for January 2026 at 54.3, and European inflation at 1.8 percent yoy. Globally, Wall Street weakened on Tuesday with the Dow Jones down 0.34 percent to 49,240.99, while Asian markets rebounded, such as Nikkei +3.92 percent. Tuesday's trading volume reached 3.273 million transactions worth Rp29.35 trillion, with all sectors strengthening, led by basic materials +6.52 percent.
