Indonesian markets slip on policy jitters

BENGALURU: Indonesian markets were under pressure on Thursday as policy concerns surrounding the government’s commodity control measures dogged the rupiah and stocks, even as Asian tech shares rode a wave of optimism after Nvidia’s upbeat outlook and Samsung’s tentative union deal.

The Indonesian rupiah weakened to 17,640 per dollar, remaining one of the worst-performing currencies in emerging Asia, with a decline of 5.5 percent in 2026 so far. The currency’s underperformance this year prompted the central bank to deliver an outsized interest rate hike on Wednesday.

Jakarta stocks fell nearly 4 percent, hovering near a more than one-year low after shedding 15 percent over the past eight sessions, as concerns persisted around fiscal discipline, central bank independence and stock market transparency.

Indonesia’s energy sub-index clocked a fifth day of losses, falling over 6 percent.

South Korean shares jumped more than 8 percent, boosted by an 8.5 percent climb in Samsung Electronics after the chipmaker reached a tentative union pay deal, averting an 18-day strike that threatened both the domestic economy and global chip supply chains.

Taiwan stocks rose around 3.4 percent, snapping a four-day losing streak.

Shares in Manila climbed 0.5 percent, helped by a 2.8 percent rise in Bank of Philippine Islands after it announced a cash dividend.

The dollar index hovered below a six-week peak, putting pressure on Asian currencies such as the South Korean won and the Thai baht. Both currencies slipped between 0.3 percent and 0.6 percent.

The Indian rupee rose about 0.5 percent at 96.4 per dollar, shored up by likely dollar selling intervention by the Reserve Bank of India, after losing nearly 3 percent over the last nine sessions.