Indonesia bourse further tightens stock selling restrictions (updated)

MSCI

20/10/2026 02:30

Recasts and adds market reaction
JAKARTA, Oct 20 (Reuters) - Indonesia's market operator further tightened stock selling restrictions on Tuesday as authorities race to contain a record-breaking rout triggered by MSCI threatening to strip the country of "emerging market" status and expel it from global indexes.
The Indonesia Stock Exchange already halved stock price down limits from 15% to 7% on Monday as the broad Jakarta Composite index .JKSE dropped 16% in two sessions, the steepest drawdown on LSEG records going back to 1990
On Tuesday, a 1 rupiah ($0.0001) down limit, which had applied to stocks worth 10 rupiah apiece or less, was extended to stocks worth 14 rupiah and below
Sell orders below limit-down prices are automatically rejected by the bourse's trading system. The IDX said on Monday the moves aimed to "mitigate market volatility"
MSCI proposes downgrading Indonesia's equity market from "emerging" to "standalone" status, which would mean no offsetting inflow from "frontier" funds and trigger more than $5 billion in outflow, according to Goldman Sachs
The Jakarta Composite index steadied on Tuesday
 
($1 = 18,005.0000 rupiah)
     

Indonesian exchange seeks to calm market after record two-day rout ID:nL1N46500W
Indonesia gets 'wake-up call' as MSCI prepares to expel it from global indexes ID:nL4N46124S
MSCI's case against Indonesian stocks and the $65 billion fallout ID:nL4N46509U
MSCI, its classifications and what they mean ID:nL6N46208E
Indonesia suffers a series of market sentiment setbacks in 2026 ID:nL6N46202Y
 (Reporting by Stefanno Sulaiman; Editing by Sonali Paul and Christian Schmollinger)
 ((martin.petty@tr.com))