BI Kept Rates Steady at 4.75%, Markets Moved Sideways

Feb 23, 2026

Market Commentary

Last week saw a shortened trading week, with the Jakarta Composite Index (JCI) largely moving sideways but still closing higher by+0.43% during the week.
Top sectors that outperformed were Transportation & Logistics (+4.1% WoW) and Basic Materials (+3.2% WoW).
With no major market-moving catalysts, investor focus has gradually shifted toward upcoming corporate earnings announcements in the weeks ahead.
Foreign investors were net buyers of ~IDR 221.5B, with top foreign buys being BMRI (+0.98%), BBRI (+1.59%), and UNTR (+4.15%).

The decision aims to support the Rupiah, which has remained under pressure and edged closer to 17,000 (USD/IDR).
The recent weakness in the currency has largely been driven by heightened global financial uncertainty.
However, BI reaffirmed its commitment to strengthen the effectiveness of accommodative monetary and macroprudential policies.
BI also mentioned that they see room for rate cuts in 2026 if inflation stays within its target range of 2.5% ±1%.

Globally, rising tensions between the U.S. and Iran can shift investor appetite to safe-haven assets like gold and silver. Investors should watch out for a potential upswing in gold prices.

Simpan recommends investors to stay invested in our Sustainable Equity Fund, which holds several commodity-linked stocks that may benefit from higher gold prices.
In addition, holding higher levels of cash is important during periods of uncertainty. Investors may consider our Smart Cash products or Cash Fund as part of a defensive strategy.
For those who prefer a hands-off approach, our Actively Managed Portfolio offers a convenient solution: simply choose a risk level aligned with your profile, and let our team manage the portfolio on your behalf.