- Persistent outflows from the domestic stock market cannot be solely explained by adverse regional effects, as the Indonesian stock market performed worse compared to other Asian markets.
- Despite the improving corporate revenue outlook in Q2 2024, the prospect of higher SBN issuance may draw domestic liquidity from the stock market to the SBN market.
- BI’s decision to absorb liquidity through the SRBI market may further dry up the liquidity available to the stock market, as foreign investors seem to be more attracted to the shorter end of the Indonesian debt market.
