Slow Growth

 

The Indonesian equity market remained stable in June 2025, driven by improved global trade sentiment and relative cautious domestic fundamental, despite ongoing geopolitical risks. Tensions in the Middle East showed signs of de-escalation in June, as diplomatic engagement and peace talks gained momentum among key regional players. While earlier concerns had triggered a brief rise in oil prices, recent progress in negotiations helped calm markets and reduce fears of prolonged supply disruptions. However, uncertainty remains, and the situation continues to carry global economic implications, particularly for energy-importing countries like Indonesia.

The partial trade agreement between the U.S. and China—focused on lowering tariffs on industrial and consumer goods—was well received by global investors. In Indonesia, the deal boosted sentiment in export-oriented sectors, particularly manufacturing, automotive components, and logistics. Although the direct impact is limited, the improved global trade environment helped reduce fears of a slowdown in regional supply chains and demand.

Indonesia’s economy remained uneven in June. While inflation stayed manageable and infrastructure spending continued, signs of underlying weakness persisted. Bank earnings were softer due to tepid loan growth, and consumer purchasing power showed signs of strain. This led the government to roll out additional subsidies to support household demand and stabilize short-term growth.

The JCI traded in a range of 6,900–7,200. Foreign inflows focused on large caps with solid fundamentals, while domestic institutions continued to provide a stabilizing presence in commodities and small-medium caps stocks. With improving global trade dynamics and supportive domestic conditions, investor focus will turn to inflation trends, U.S. rate policy, and domestic economic policies.

 

Product Recommendation

 

EQUITY FUND
MITRA A	MITRA invests in majority domestic stocks, with a focus on Big Cap stocks. Categorized as a Long-Term investment with high risk. Investors bear the risk associated with the equity portfolio.
MICB A	MICB primarily invests in stocks included in the LQ45 index. Categorized as a Long-Term investment with high risk. Investors bear the risk associated with the equity portfolio.
BALANCED FUND
MIA	MIA invests in Equities, Bonds and Money Market with Medium Term and categorized Medium Risk. Investors bear the risk associated with the equity portfolio.
MISB	MISB invests in Sharia Equities, Sukuk and Money Market Sharia with Medium Term and categorized Medium Risk. Investors bear the risk associated with the equity portfolio.
EQUITY INDEX AND ETF FUND
FTSE ESG A	FTSEESG primarily invests in stocks included in the FTSE Indonesia ESG Index. Categorized as a Long-Term investment with high risk. Investors bear the risk associated with the equity portfolio.
XMLF	Mandiri ETF LQ45 is an ETF that invests in blue-chip stocks listed in the LQ45 Index. Categorized as a Long-Term investment with high risk. Investors bear the risk associated with the portfolio of these stocks.

 

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For More Information

Contact Mandiri Investasi – (021) 526 3505
Mandiri Investasi Email – [email protected]
Mandiri Investasi Website – www.mandiri-investasi.co.id

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DISCLAIMER

The opinions expressed in the article are for general informational purposes only and are not intended to provide specific advice or recommendations for individuals or specific mutual fund or investment products. It is intended solely to provide education about the financial industry. Views reflected in the content may change at any time without notice. All performance data and investment returns mentioned in this article cannot be used as a basis for calculation to buy or sell a mutual fund. This data is performance records based on historical data and is not a guarantee of future mutual fund performance. Investment through mutual funds carries risks. Investors are required to read and understand the prospectus before deciding to invest through mutual funds.

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