JAKARTA – The Bisnis-27 Index opened in the red during Tuesday’s trading session (May 5, 2026), pressured by escalating tensions between the United States and Iran surrounding the strategic Strait of Hormuz. Shares of ASII, JPFA, and MAPI led the decline in early trade.
According to IDX Mobile data, the index—compiled in collaboration with the Bisnis Indonesia daily—dipped 0.44% to reach 464.64 as of 09:05 WIB. Market breadth was clearly skewed toward sellers, with 17 constituent stocks declining, while only three managed to gain ground, and seven remained unchanged.
Significant selling pressure weighed on many major constituents. PT Astra International Tbk. (ASII) suffered a sharp drop of 4.94% to Rp5,775, followed by PT Japfa Comfeed Indonesia Tbk. (JPFA), which slid 4.18% to Rp2,520, and PT Mitra Adi Perkasa Tbk. (MAPI), which fell 3.47% to Rp1,250. Other notable decliners included PT Aneka Tambang (Persero) Tbk. (ANTM), down 2.63% to Rp3,700, and PT Vale Indonesia Tbk. (INCO), which corrected by 2.55% to Rp6,700.
Despite the broader market slump, some stocks managed to buck the trend. PT Bank Rakyat Indonesia (Persero) Tbk. (BBRI) recorded a gain of 2.30% to reach Rp3,110, trailed by PT Triputra Agro Persada Tbk. (TAPG) at 1.46% to Rp2,090, and PT Bank Central Asia Tbk. (BBCA), which rose 0.42% to Rp5,925.
Analysts at Phintraco Sekuritas Research noted that global market anxiety has intensified due to the escalating conflict in the Middle East, which is exerting direct pressure on global stock indices and commodity prices. The geopolitical situation remains volatile; while U.S. President Donald Trump has introduced the “Project Freedom” initiative to secure global oil distribution through the Strait of Hormuz, reports of missile attacks on U.S. warships—though denied by the Pentagon—and explosions involving South Korean-flagged vessels have kept investors on edge.
The instability has extended to the United Arab Emirates, where missile and drone strikes triggered a fire at the Fujairah Oil Industry Zone. This facility is critical to the region, serving as a primary storage hub and an alternative distribution route for oil, effectively bypassing the Strait of Hormuz.
Domestically, Indonesia’s fundamental economic indicators present a mixed picture. Manufacturing activity has contracted, with the Purchasing Managers’ Index (PMI) falling to 49.1 in April 2026, its lowest level since June 2025, largely attributed to the spillover effects of global geopolitical tensions. While Indonesia’s trade balance surplus reached US$3.32 billion in March 2026—an improvement from the previous month—it remains lower than the same period last year due to a decline in exports.
On a positive note, annual inflation slowed to 2.4% in April 2026, the lowest rate since August 2025, supported by more moderate increases in food and housing costs. Investors are now shifting their focus toward the upcoming first-quarter 2026 GDP report, which is expected to show quarterly contraction despite year-on-year growth. Looking ahead, market sentiment is also being shaped by speculation that the government may implement new export duties and a windfall tax on nickel commodities to help cover energy subsidy obligations.
Disclaimer: This news report is provided for informational purposes only and does not constitute financial advice or a recommendation to buy or sell any stocks. Investment decisions are the sole responsibility of the reader. Bisnis.com is not liable for any financial losses or gains resulting from the use of this information.
Summary
The Bisnis-27 Index opened 0.44% lower at 464.64 on Tuesday, May 5, 2026, as geopolitical tensions between the United States and Iran disrupted global markets. Shares of major constituents, including ASII, JPFA, and MAPI, faced significant selling pressure, while only a few stocks like BBRI and BBCA managed to record gains. Market sentiment remains fragile due to regional instability near the Strait of Hormuz and reports of strikes on critical oil infrastructure.
Domestically, the Indonesian economy faces a challenging landscape marked by a manufacturing contraction and declining exports, despite a modest improvement in the trade balance. While annual inflation slowed to 2.4% in April, investors remain cautious ahead of the upcoming first-quarter GDP report. Speculation regarding potential new export duties and windfall taxes on nickel commodities continues to influence market outlooks.
