HIGHLIGHTS
- The yield on 10-year Indonesia Government Bonds declined to 6.683% on May 25, 2026, from 6.737% in the previous trading session.
- Government bond trading volume reached IDR47.04 trillion, primarily driven by medium-term tenors (5–15 years). The volume increased compared to the previous day’s transaction value of IDR36.15 trillion, although it remained slightly below the year-to-date average of IDR49.43 trillion. Meanwhile, outright transactions rose to IDR18.19 trillion from IDR15.67 trillion recorded in the prior session.
- In the corporate bond market, total trading volume stood at IDR13,386 billion, dominated by short-term tenors (<5 years). This represented a significant increase from the previous day’s volume of IDR5,534 billion and remained well above the year-to-date average of IDR3,313 billion. Outright transactions also increased to IDR6,492 billion, compared to IDR5,533 billion in the preceding session.
- On the currency front, the Indonesian Rupiah weakened by 0.19% against the US Dollar to IDR17,743 from IDR17,709. Meanwhile, the Jakarta Composite Index (JCI) advanced by 0.72%, rising from 6,162 to 6,206. In the commodities market, Brent crude oil prices declined from USD103.54 to USD98.37 per barrel, while WTI Cushing Crude Oil Spot prices fell from USD96.60 to USD91.61 per barrel.
GLOBAL UPDATES
- Brent crude futures fell around 5% toward USD98/bbl on May 25, extending last week’s losses amid growing optimism over a potential US-Iran agreement to reopen the Strait of Hormuz. Reports indicated that both sides had drafted a memorandum to extend the ceasefire by 60 days while negotiating a broader deal involving de-mining operations and the gradual resumption of shipping activity through the strait. A full reopening of Hormuz, which handles roughly one-fifth of global oil and LNG flows, would ease supply disruptions and provide significant relief for major Asian energy importers, including China, Japan, and South Korea. (Bloomberg)
DOMESTIC UPDATES
- The Government of the Republic of Indonesia is scheduled to conduct a Government Securities (SUN) auction on Tuesday, May 27, 2026, as part of its ongoing efforts to fulfill the 2026 State Budget (APBN) financing requirements. The series on offer comprise SPN12260702 (Reopening), SPN03260831 (New Issuance), SPN12270517 (Reopening), FR0109 (Reopening), FR0108 (Reopening), FR0106 (Reopening), FR0107 (Reopening), FR0102 (Reopening), and FR0105 (Reopening). The Government has set an indicative issuance target of IDR36 trillion for this auction. BRI Danareksa Sekuritas estimates that total incoming bids in the upcoming auction could reach IDR40–50 trillion, with an expected bid-to-cover ratio of 1.11x–1.39x. (MoF, BRIDS Estimate)
- Indonesia officially ratified the establishment of state-owned enterprise Danantara Sumberdaya Indonesia (DSI) on May 25, 2026, marking a major step in the government’s plan to centralize exports of strategic commodities. Starting June 1, exporters of key products including palm oil, thermal coal, and selected nickel products will be required to report sales to the new entity during an initial transition phase. Over time, DSI is expected to assume control over export contracts, logistics, and payments. While authorities framed the initiative as part of broader trade integration efforts, investors remain cautious over potential shifts away from Indonesia’s market-oriented policy framework. (Bloomberg, CNBC)
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