Indonesian Stock Market Gains Momentum on Currency Strength

Market Performance Analysis

The Indonesian Composite Stock Index (IHSG) closed 0.80% higher at 8,617.04 on Tuesday, December 2, 2025. This positive performance was primarily driven by two key factors: the strengthening of the Indonesian rupiah against the US dollar and significant gains in conglomerate stocks. According to MNC Sekuritas analyst Herditya Wicaksana, the rupiah appreciated 0.23% to Rp 16,625 per USD, contributing to the overall market positivity.

Technical Outlook and Future Prospects

Wicaksana noted that the IHSG remains within wave (iii) of a larger wave (iii), suggesting potential for further upward movement. The next significant resistance level is projected at 8,660. However, the analyst also cautioned about potential short-term corrections within the range of 8,540 to 8,569. This technical analysis suggests that while there is room for further gains, investors should be prepared for possible short-term volatility.

Market Drivers and Investor Sentiment

The positive performance was largely attributed to the conglomerate sector's strong showing. Major conglomerate stocks led the gains, supporting the overall index performance. The currency appreciation played a crucial role in boosting investor confidence, creating a favorable environment for stock market gains. As the market continues to navigate these dynamics, investors will be closely watching both macroeconomic indicators and technical patterns for future direction.