For the second time, Indonesia Stock Exchange (IDX) halt the stock market trading after the Jakarta Composite Index (JCI) plunge 5.11 percent to 4,645.77 in the first session of today' trading - Photo by IDX

JAKARTA (TheInsiderStories) – For the second time, Indonesia Stock Exchange (IDX) halt the stock market trading after the Jakarta Composite Index (JCI) plunge 5.11 percent to 4,645.77 in the first session of today’ trading. Indonesian Rupiah also slumped 2.08 percent to 14,810 and become the worst weaker in Asian currencies market.

“There has been a temporary suspension of trading on the IDX trading system at 09:15:33 JATS time, triggered by the decline in the JCI,” said the regulator at the written statement released today (03/12).

Commenting on this situation, chairman of Financial Service Agency (FSA), Wimboh Santoso urged the investors not panic because the policymaker will do something to overcome the COVID-19 impact. Finance minister Sri Mulyani Indrawati also assured that the government together other regulators will guard the domestic economy.

“We urge entrepreneurs in the capital market not to panic because we are doing various things to overcome the capital market. We already have a protocol to overcome this problem,” Santoso told reporters on Friday.

He asserted, the stimulus package is not direct give impact to the capital market but can provide confidence to investors. He rated, the cause of JCI’ fall is because of negative sentiment from the virus outbreak.

While, Indrawati asserted, the world need leaderships to solve the pandemic problems. She hopes, there is a mechanism that creates global leaderships to make a sincere step to immediately mitigate this pandemic.

“Wall Street, which dropped 10 percent and entered the bear market, even countries that have been considered as save heaven countries like Japan also experienced a very sharp decline,” said the minister.

The government focus is now paying attention to this development while continuing to anticipate and mitigate the impact, she adds.

“In situations like this. the most important is flexibility. If we are too rigid it will definitely crack. The flexibility is more important and we will see it openly, evidence, and then we respond. And we will continue to be transparent to all economic actors,” Indrawati stated.

by Linda Silaen, Email: linda.silaen@theinsiderstories.com