RRI.CO.ID, Jakarta - Market optimism over a possible ceasefire in the Iran-US conflict has dissipated quickly. Tensions escalated again after Iran launched attacks on Israel.
The reciprocal attacks between Iran and the United States has increased uncertainty. Asian stock markets are once again facing intense selling pressure.
Indonesia’s stock market also opened lower on Monday, 8 June 2026. The Jakarta Composite Index (IHSG) fell to around 5,486 points.
Investors are not only watching geopolitical developments. Several important economic reports are also expected to influence market direction this week.
Indonesia will release its foreign exchange reserves data during the first trading session. Other key reports include consumer confidence, vehicle sales, and retail sales figures.
Global markets are also focused on inflation data from the United States and China. Higher inflation could increase rate hike expectations.
Bank Indonesia is already considering raising interest rates. Inflation trends in the US and China could strengthen similar expectations for major central banks.
The Indonesian Rupiah weakened sharply at the market open. The currency fell to around 18,100 per US Dollar as the US Dollar Index and US Treasury yields moved higher.
The US Dollar Index is currently near 100. Meanwhile, the yield on the 10-year US Treasury remains above 4.5%.
Gold prices also came under heavy pressure despite rising geopolitical tensions. Gold is currently trading near $4,322 per troy ounce ahead of key inflation reports.
Investors are concerned that stronger inflation could lead to higher interest rates. In Indonesia, gold prices are trading at approximately Rp2.52 million per gram.
Writer: Gunawan Benjamin (Economist, Islamic University of North Sumatra)
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