The Indonesia Stock Exchange (IDX) on Tuesday lowered the automatic lower limit from 7% to 1 rupiah for stocks priced between 11 and 14 rupiah, aiming to curb a selloff triggered by MSCI's proposal to downgrade Indonesia to “standalone” status, which would remove it from its global emerging and frontier market indexes. The exchange said the change is meant to ensure orderly, fair and efficient trading and support better price discovery, and it will remain in effect until December 31 this year. Stocks priced at 15 rupiah or above keep the 7% lower limit, while the 1-rupiah limit for stocks below 10 rupiah still applies. Sell orders below the lower limit price will be automatically rejected by the trading system.
Summary written by Upside AI from the original article. Read the source for full details.
Read the original on english.kontan.co.id ↗
Keywords
IndonesiaMSCIregulationemerging markets
Open a keyword to see other news on the same topic.
Related tickers and likely impact
VNINDEX
• NeutralRelevance: low
| Market | Vietnam stocks |
|---|---|
| Close on 10/19/2026 | 1,689.84 |
| Change that session | -0.94% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
Related news
- Indonesian stocks rise after measures to address recent rout
Indonesian stocks recovered slightly on Tuesday after authorities in Jakarta announced measures, including restrictions on selling, following a record sell-off of about $82 billion triggered by MSCI's warning that it could remove Indonesia from its global indexes. Jakarta's benchmark index rose 4% after hitting a six-year low in the previous session, but is still down about 40% this year. MSCI is considering moving Indonesia from “emerging markets” to “standalone” status, a harsher downgrade than expected, over concerns about ownership transparency and coordinated trading. The Indonesia Stock Exchange will exclude stocks with highly concentrated ownership, which account for roughly 18% of index weight, and has halved the daily down limit to 7% from 15%. Fitch said these risks reinforce the concerns behind its March revision of Indonesia's outlook to negative, although the consultation announcement itself has no material immediate credit implications.
- Too Broken For Frontier : Indonesian Markets Suffer Worst Rout Since 1998 As MSCI Threatens The "Argentina Treatment"
MSCI warned that Indonesia may face a two-step downgrade, moving straight from Emerging Market to 'Standalone' status and skipping Frontier, which deepened the selloff in Jakarta. The Jakarta Composite Index fell 11.6% on Friday, its biggest one-day drop since January 1998, then closed down a further 3.6% on Monday. Since its January 20 peak, the index has lost about 45%, and according to Reuters, about $350 billion in market value has been wiped out since January. MSCI cited opaque shareholding structures, suspected coordinated trading and weak enforcement; Jakarta raised the minimum free float to 15% from 7.5%, but MSCI concluded the problems were too deep for Frontier status. MSCI will announce its decision by June 30, 2027, while OJK has fined entities 2.1 trillion rupiah ($116 million) linked to manipulation in three stocks.
- Too Broken For Frontier: Indonesian Markets Suffer Worst Rout Since 1998 As MSCI Threatens The Argentina Treatment
MSCI warned Indonesia could be downgraded straight from Emerging Market to 'Standalone' status, skipping Frontier, because concerns over opaque shareholding, coordinated trading and weak enforcement persist despite reforms. The Jakarta Composite Index fell 11.6% on Friday and 3.6% on Monday, a near-15% drop over two sessions that is steeper than any two-day stretch in the 1998 Asian crisis, and it is down about 45% from its January 20 peak. About $350 billion in market value has been wiped out since January as foreign investors exit and the rupiah weakens. The OJK fined entities tied to manipulation in three stocks 2.1 trillion rupiah ($116 million), and MSCI will decide by June 30, 2027.
- Indonesia Could Lose Emerging Market Status
On 15 October 2026 MSCI opened a consultation on reclassifying Indonesia from Emerging Market to Standalone Market status, citing opaque shareholding structures and suspected coordinated trading. Indonesia's weight in the MSCI Emerging Markets Index fell to 0.43% on 30 September 2026 from 1.16% at the end of 2025, as the free-float-adjusted value of the MSCI Indonesia Index dropped about 55%, from US$119.1 billion to US$53.4 billion. Feedback is open until 30 April 2027, with a decision due by 30 June 2027, and the freeze on Indonesian index changes remains. MSCI said it could proceed unless the consultation shows clear evidence of better governance, noting that Indonesia's reforms, including a roadmap to a 15% minimum free float, have seen little enforcement. If the reclassification goes ahead, funds tracking emerging-market indexes could be forced to sell Indonesian shares regardless of company fundamentals.
- Indonesian exchange seeks to calm market after record two - day rout
Indonesian stocks posted their steepest two-day sell-off on record after MSCI said it was considering moving the country from “emerging market” to “standalone” status. The Jakarta benchmark fell 11.6 per cent on Friday and 3.6 per cent on Monday, hitting a six-year low intraday. The rupiah weakened to 18,030 per dollar, near June's record low of 18,190, while the 10-year government bond yield rose to 7.4 per cent. The exchange cut its daily down limit to 7 per cent from 15 per cent and will exclude stocks with high ownership concentration from the Jakarta Composite Index. Foreign investors have net sold US$4.98 billion of Indonesian stocks this year, on track for the biggest annual outflow in at least 16 years.
- Indonesian exchange seeks to calm market after record 2-day rout
Indonesian stocks suffered their steepest two-day sell-off on record after MSCI said on Friday (Oct 16) it was considering moving Indonesia from “emerging market” to “standalone” status. The benchmark index fell 11.6% on Friday and 3.6% on Monday, hitting a six-year low, while the rupiah weakened to 18,030 per US dollar and the 10-year yield rose to 7.4%. The exchange said it remained committed to capital market reforms, excluded stocks with highly concentrated ownership from the Jakarta Composite Index, and cut the daily down limit to 7% from 15%. Goldman Sachs estimated a full MSCI removal could trigger US$5.6 billion in passive outflows, and foreign investors have net sold US$4.98 billion of Indonesian stocks so far this year.
Related markets
Latest news
- Bitcoin ETFs just saw their biggest day in a month thanks entirely to BlackRock
U.S. spot bitcoin ETFs took in $526.6 million on Monday, the largest daily net inflow in nearly a month, driven entirely by BlackRock's iShares Bitcoin Trust (IBIT), which pulled in $665.2 million, its biggest daily inflow since Oct. 7 last year, according to SoSoValue data. Fidelity's FBTC lost $83.6 million and Grayscale's GBTC shed $54.9 million, while the remaining funds recorded no net flows. The inflow more than erased last week's $228.5 million of withdrawals, but funds remain about $90.5 million in net outflows for October, according to CoinDesk calculations. Ether funds moved the opposite way, losing $103.3 million in their fourth consecutive session of outflows, with BlackRock's ETHA accounting for $95.4 million of that.
- A Big4 bank cut deposit rates in the morning, then raised them again in the afternoon
VietinBank cut its deposit rates for terms of 6 months and longer on the morning of Oct. 20, then restored them to pre-adjustment levels by the afternoon. Its afternoon rate board showed 3.5% per year for 6 to under 12 months, 5.9% for 12 to under 24 months and 6% for 24 months and longer, versus 3%, 5.4% and 5.5% in the morning. Rates for terms under 6 months stayed unchanged, including 2.1% for 1 to under 3 months and 2.4% for 3 to under 6 months. The move came as banks followed the State Bank of Vietnam's guidance to cut deposit rates by at least 0.5 percentage points for terms of 6 months and longer, and Vietcombank and Agribank were among those reducing rates.
- IVV vs. SPY: Which S&P 500 ETF Is the Better Buy for Long-Term Investors?
The article compares two ETFs that track the S&P 500, iShares Core S&P 500 ETF (IVV) and State Street SPDR S&P 500 ETF (SPY), which have nearly identical holdings. The main difference is the expense ratio: IVV charges 0.03% a year, one-third of SPY's 0.09%, and its distribution yield is about 1.1% versus 1% for SPY. SPY's high liquidity remains valuable for active traders. The article concludes that IVV is the better choice for long-term investors, since lower costs can compound over time.
- Warren Buffett Is Issuing a Stark Warning About the Stock Market. Here's What History Says Comes Next.
Warren Buffett has warned that investors are taking on too much risk, likening the market to 'a church with a casino attached' and saying people have never been in a more gambling mood. The article points to the S&P 500 Shiller CAPE Ratio, which has stayed above 40 since May of this year; historically, the only other time it held above that level for months was during the dot-com bubble, when it peaked around 44 before the bear market began in March 2000. The article notes that 40 is not an automatic trigger for a downturn, and no metric can predict timing. It suggests investors focus on quality stocks with solid fundamentals and be ready to hold them for at least a few years.
- Early Uber Investor Jason Calacanis Predicts Waymo Could Buy Lucid Or Rivian — Calls Its Chinese-Car Optics ‘Really Bad’
Early Uber investor Jason Calacanis predicts Waymo will buy Lucid Group (LCID) or Rivian Automotive (RIVN), arguing that its reliance on Chinese-made Zeekr vehicles creates cost and reputational problems. He says the arrangement is technically not illegal today, but Waymo would need to pay a tariff of over 100%, and it has drawn national-security concerns on Capitol Hill. According to Semafor, Waymo aims to grow its fleet from about 4,000 vehicles to 8,000 by the end of 2026 and 20,000 by the end of 2027, after closing a $5 billion term loan and a $16 billion equity raise this year. Uber has committed to buying at least 35,000 Lucid vehicles, while its Rivian deal starts with 10,000 autonomous R2 SUVs, with rides expected to begin in 2028. Calacanis, who recently bought small stakes in Lucid, Rivian, WeRide (WRD) and Pony.ai (PONY), expects consolidation in the autonomous-driving sector within 24 months.
- Prediction: Oct. 21 Will Be a Huge Day for the Stock Market
The article predicts October 21 could be a pivotal day for the stock market, as Meta Platforms (META) becomes the first of the "Magnificent Seven" tech giants to report third-quarter earnings after the close. In its latest quarter, Meta's total revenue rose 28% to $60 billion, with ad revenue at $59 billion. Investors will be watching whether its capital spending, now about 35% of revenue, is translating into growth. Meta's report could hint at the earnings outlook for other tech giants and set the direction for the S&P 500 in the coming days, with the first trading session after the report on Thursday.
Get the briefing on Telegram or Zalo
Join the Upside Telegram channel or Zalo group for the Vietnam stocks and gold briefing at 8:00 and 19:00 (Vietnam time) on trading days, plus a weekly wrap on Saturday morning.