The Composite Stock Price Index (IHSG) closed with a slight decline of 0.05 percent to reach the 6,127 level during Friday’s trading session on May 29, 2026. Market breadth showed 271 stocks advancing, 409 declining, and 137 remaining stagnant. Trading activity was robust, with a total volume of 47.2 billion shares traded, amounting to a value of Rp 50.1 trillion, while the frequency of transactions was recorded at 2.37 million times.
The market opened on a bearish note Friday morning, dipping 18 points to the 6,112 level. However, sentiment improved during the midday session, with the index rebounding by 1.43 percent to reach 6,128 by the close of the first session before experiencing minor adjustments toward the final bell.
Hans Kwee, Co-founder of PasarDana, had previously projected that the stock market would face heightened volatility due to the upcoming Morgan Stanley Capital International (MSCI) index rebalancing, which takes effect on June 1, 2026.
Despite these expectations, Kwee noted that most fund managers had already proactively adjusted their portfolios well before the final deadline of May 29. “What is interesting is the lack of significant panic in the market, even though some stocks removed from the MSCI index faced downward pressure,” Kwee stated in a written release on Thursday, May 28, 2026.
According to Kwee, the removal of certain issuers from the MSCI index is primarily a technical adjustment and does not necessarily reflect a decline in the companies’ actual fundamentals. He believes that the period immediately following the MSCI rebalancing could serve as a bottoming-out phase for the IHSG, paving the way for a market recovery driven by future corporate performance.
Editor’s Choice: The State of Sumatra Following Days of Blackouts
Summary
The Composite Stock Price Index (IHSG) closed slightly lower at 6,127 on May 29, 2026, amid persistent market volatility. Trading activity remained robust with 47.2 billion shares exchanged, despite a bearish morning session that saw the index initially drop before recovering throughout the day.
Market expert Hans Kwee attributed the ongoing fluctuations to the upcoming MSCI index rebalancing, though he noted that fund managers had already adjusted their portfolios in advance. Kwee emphasized that the removal of specific issuers from the MSCI is a technical adjustment rather than a sign of poor fundamentals, potentially setting the stage for a future market recovery.