Indonesian Stocks Rise on Financial Report Season Hopes

Indonesia's Composite Stock Price Index (IHSG) opened Monday, July 20, 2026, with a gain of 0.36 percent, reaching 6,197.48 points, as market participants anticipate the release of second-quarter and first-half financial reports from listed companies.

The benchmark LQ45 index also saw a rise of 0.47 percent. Ratna Lim, Head of Research at Phintraco Sekuritas, noted that technically, the IHSG has the potential to challenge the 6,225-6,280 level this week. Historically, the IHSG has shown strength in July, coinciding with the period of financial report releases.

Market players are also awaiting the Bank Indonesia Governor's Board meeting decision on the BI-Rate, along with credit growth data and M2 Money Supply figures later in the week. Domestic sentiment has improved, evidenced by two consecutive days of net buying by foreign investors last week.

However, rising oil prices pose a significant risk, potentially affecting the state budget deficit, inflation, the Rupiah's exchange rate, and interest rates. Globally, the US-Iran conflict and its impact on oil prices could influence central banks' decisions on interest rate hikes. In the technology sector, earnings reports from major companies like Alphabet, Intel, and Tesla will be closely watched.