HIGHLIGHTS
- The yield on the 10-year Indonesia Government Bond rose sharply to 7.261% on June 8, 2026, from 6.876% in the previous trading session. Meanwhile, the 10-year UST yield rose by 1 bps to 4.56% yesterday.
- Government bond trading volume totaled IDR43.06 trillion, with activity primarily concentrated in short-term tenors (less than 5 years). The volume declined from IDR45.73 trillion recorded in the previous session and remained below the year-to-date (YTD) average of IDR49.43 trillion. Meanwhile, outright transactions increased to IDR18.35 trillion, compared with IDR14.70 trillion in the preceding trading day.
- Corporate bond trading volume reached IDR10.68 trillion, also dominated by short-term tenors (less than 5 years). The volume increased from IDR7.86 trillion recorded in the previous session and remained well above the YTD average of IDR3.31 trillion. Outright transactions amounted to IDR10.65 trillion, rising from IDR7.86 trillion on the previous trading day.
- The Indonesian Rupiah depreciated by 0.88% against the US Dollar, weakening to IDR18,178/USD from IDR18,020/USD. Meanwhile, the Jakarta Composite Index (JCI) declined by 4.52%, falling from 5,595 to 5,342. In the commodities market, Brent crude oil increased from USD93.09 to USD97.21 per barrel, while WTI Cushing Crude Oil Spot advanced from USD90.54 to USD94.67 per barrel.
DOMESTIC UPDATES
- The Government of the Republic of Indonesia is set to conduct a Government Bond (SUN) auction on June 9, 2026, as part of its strategy to finance the 2026 State Budget (APBN). The securities to be offered include SPN01260711 (New Issuance), SPN12260910 (Reopening), SPN12270610 (New Issuance), FR0109 (Reopening), FR0108 (Reopening), FR0106 (Reopening), FR0107 (Reopening), FR0102 (Reopening), and FR0105 (Reopening). The government has established an indicative issuance target of IDR36 trillion for the auction. BRI Danareksa Sekuritas estimates that total incoming bids in the upcoming auction could reach IDR50–60 trillion, with an expected bid-to-cover ratio of 1.39x–1.67x. (MoF, BRIDS Estimate)
- Indonesia’s FX reserves declined to USD144.9bn at end-May 2026 from USD146.2bn in April, marking the lowest level since June 2024. The decline mainly reflected government external debt repayments and BI’s rupiah stabilization measures amid heightened global financial market uncertainty and seasonal domestic demand for foreign currency, partly offset by proceeds from the government’s global bond issuance as well as tax and services receipts. Reserves remain robust, equivalent to 5.6 months of imports or 5.5 months of imports and government external debt servicing, well above the international adequacy standard of around three months of imports. (Bank Indonesia)
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