Indonesian Shares Drop for 3rd Session as November Begins

Indonesian stocks fell 39 points, or 0.8%, to 5,022 on the first trading day of a new month, extending losses for a third session. Caution prevailed ahead of September trade and October inflation data due later today. In August, imports continued to outpace exports, highlighting external risks, particularly from Middle East tensions. Meanwhile, September inflation accelerated to a three-month high of 3.28% amid El Niño-related food price pressures. Still, gains in U.S. equity futures limited the fall ahead of further earnings reports, jobs data, and the midterm elections. Meanwhile, factory activity in Indonesia grew the most since March 2024, as output, new orders, and foreign demand all rose. Regionally, China's central bank shifted its short-term monetary policy framework toward the overnight rate, signaling a move closer to the operating systems of major central banks. Among the biggest laggards were Adaro Andalan Indonesia (-6.5%), Mitra Adiperkasa (-5.7%), and Bukit Asam (-3.1%).