Rupiah-denominated assets traded with mixed performance on Thursday (5-Mar). The Jakarta Composite Index (JCI) rebounded, snapping three consecutive sessions of losses, broadly in line with gains across Asian equity markets despite ongoing geopolitical tensions in the Middle East. The JCI rose 1.76% to 7,710.54 (vs. -4.57% previously; YTD: -10.83%), supported by gains across several key sectors, led by consumer cyclicals (+3.40%), industrials (+2.80%), basic materials (+2.63%), and infrastructure (+2.06%). However, market activity softened as daily turnover declined to Rp17.9tn (vs. Rp29.6tn previously; YTD average: Rp30.1tn). Foreign investors remained net sellers, posting net outflows of Rp210bn (vs. -Rp118bn previously; YTD: -Rp7.0tn). Regionally, Asian equity markets closed higher, with the Nikkei rising 1.9% and the Hang Seng gaining 0.28% despite persistent geopolitical risks and concerns over rising energy prices.
In the bond market, INDOGB yield movements were mixed, with gains concentrated in the short-to-mid segment of the curve. This occurred despite sizeable foreign outflows of Rp3.5tn, which reversed the previous 2 days of inflows totaling Rp1.73tn. According to Bloomberg data, the 5-yr FR109 yield declined to 5.93% (-3.9 bps) and the 10-yr FR108 eased to 6.58% (-1.9 bps), while the 15-yr FR106 and 20-yr FR107 yields edged higher to 6.74% (+1.9 bps) and 6.71% (+0.6 bps), respectively. Offshore indicators improved modestly, with the 5-yr USD sovereign yield declining to 4.39% (-1.3 bps) and the 5-yr CDS tightening to 84.46 bps (-2.99 bps). Meanwhile, the rupiah traded relatively stably, weakening slightly by 0.04% to Rp16,890/USD (vs. -0.16% previously; YTD: -1.21%).
As of 4-Mar, foreign ownership of government bonds declined marginally to Rp874.1tn, representing 12.95% of the total outstanding SBN. Year-to-date, domestic investors have remained the primary buyers, led by other investors (+Rp47.5tn), followed by insurance companies and pension funds (+Rp41.6tn), onshore banks (+Rp40tn), mutual funds (+Rp24.4tn), Bank Indonesia (+Rp23.9tn), and retail investors (+Rp9.9tn). Foreign investors remain net sellers of Rp4.5tn YTD.
Domestic Corp Bond Market
On the corporate side, trading activity moderated to Rp10.8tn (vs. Rp13.9tn prior, or YTD avg.: Rp5.5tn). The IMFI06ACN2 series (maturing on 4-Mar-27), rated idAA-, was the most actively traded with a total volume Rp2.1tn. Its price declined to 100.00 (-0.03%), while the yield rose to 4.95% (+3.09 bps). This was followed by the SMLPPI02BCN2 series (maturing on 24-Feb-31), rated idA(sy) with a volume of Rp343bn. Its price declined to 98.31 (-2.21%), while the yield increased to 7.66% (+53.93 bps). Close behind was the SMPPGD01ASOCN3 series (maturing on 23-Nov-26), rated idAAA(sy), which recorded Rp300bn in trading volume. Its price rose to 99.94 (+0.62%), while the yield declined to 5.33% (-86.38 bps).
Pefindo has affirmed idAAA rating with stable outlook to PT Bank Negara Indonesia, its Green Bond I/2022, and Sustainability Bond I/2025. According to Pefindo, the corporate rating is mainly driven by the Bank s critical importance to its controlling shareholder (Government of Indonesia). BNI s standalone credit profile is supported by its very strong business position, very strong capitalization, and very strong liquidity profile. Meanwhile, these strengths are party offset by its tight competition amid challenging macroeconomic conditions.
Pefindo has affirmed idA rating with stable outlook to PT Trimegah Sekuritas Indonesia and its outstanding bonds. According to Pefindo, the rating reflects Trimegah Sekuritas strong business position, well-diversified business lines, and strong capitalization. Meanwhile, the rating is constrained by Trimegah Sekuritas exposure to the volatile capital market and intense industry competition.
Pefindo has affirmed idAAA rating with stable outlook to PT Adira Dinamika Multi Finance Tbk (Adira Finance). At the same time, Pefindo has affirmed its idAAA ratings on Adira Finance s outstanding bonds and its idAAA(sy) ratings on its outstanding sukuk, including the Shelf Registration Sukuk Mudharabah I previously issued by PT Mandala Multifinance Tbk (Mandala Finance), as the debt instrument has been assumed by Adira Finance. According to Pefindo, the rating is mainly driven by the very strong likelihood of support MUFG Bank, Ltd (MUFG Bank) as its ultimate parent. Adira Finance s standalone credit prodile reflects its very strong market position, well-diversified business portfolio, and very strong capitalization profile. Meanwhile, the rating is constrained by challenges in improving Adira Finance s profitability indicators.
Pefindo has affirmed idD rating to PT Wijaya Karya (Persero) Tbk (WIKA) s Shelf Registered (SR) Bond I Phase II Serie A and B, as well as its idD(sy) rating to WIKA s SR Sukuk Mudharabah I Phase II Serie A nad B, following WIKA s deferral of the principal payment on the respective financial instruments due on March 3, 2026. At the same time, Pefindo has maintained WIKA s corporate rating at idSD and the WIKA s other outstanding bonds and sukuk at idD. According to Pefindo, the rating reflects WIKA s weak financial and liquidity profile as well as risks from previous expansion.
