Jakarta. IDX closed the first half of Tuesday's trading session with a sharp 6.12 percent drop, or 395.8 points, to 6,076, marking its lowest level since September 2021.

Earlier, the Indonesia Stock Exchange (IDX) triggered a temporary trading halt after the Jakarta Composite Index (JCI) plunged 5 percent. Trading was paused at 11:19:31 Jakarta Automated Trading System (JATS) time, in line with IDX emergency protocols.

Trading resumed at 11:49:31 JATS time, with no changes to the scheduled trading hours, IDX corporate secretary Kautsar Primadi Nurahmad confirmed.

JCI was down 3.82 percent to 6,220 in the first trading session, pressured by heavy losses in banking and large-cap stocks.

Market analysts point to several factors fueling the selloff, including mass layoffs in key industries ahead of the Eid holiday and concerns over upcoming credit ratings from Fitch, S&P, and Moody’s. Goldman Sachs and Morgan Stanley’s recent downgrades have already dented investor confidence.

Major manufacturers such as Yamaha Music Product Asia, Adis Dimension Footwear, and Victory Ching Luh Indonesia have cut thousands of jobs, raising concerns about an economic slowdown. Meanwhile, Goldman Sachs downgraded Indonesia’s stock market rating from overweight to market weight, while Morgan Stanley cut its MSCI Indonesia to underweight.

Adding to the uncertainty are looming interest rate decisions in Indonesia, Japan, and the US, as well as rumors of the resignation of two key economic ministers.