JakartaGlobe-Apr 17
Indonesian investors are pulling back from stocks and turning to gold and real estate as global markets reel from fresh uncertainty triggered by US President Donald Trump’s surprise tariff policy. Trump’s recent announcement of tariffs and conflicting signals around trade restrictions shook global markets, with ripple effects reaching Southeast Asia. Elon Musk and Nvidia have criticized the move, with the chipmaker projecting a potential $5.5 billion loss. While the timing coincided with the Eid holiday in Indonesia, temporarily insulating local markets, sentiment remains cautious. “It’s a risky climate, but there’s still room for tactical moves,” said Liza Camelia Suryanata, Head of Research at Kiwoom Sekuritas Indonesia, speaking at the Beritasatu investor forum in Tangerang on Thursday. Liza recommended a defensive strategy with no more than 30 percent of funds allocated to stocks. She pointed to blue-chip banking stocks like BRI, Mandiri, and BCA as potential rebound candidates after recent corrections. “There’s opportunity if investors are selective,” she said, adding that the Jakarta Composite Index (JCI) could still reach 7,000–7,200 by year-end, depending on global trends and domestic policy support, including relaxed rules on share buybacks. As financial markets wobble, Indonesian investors are flocking to traditional safe havens. Gold has seen a resurgence, supported by strong demand from global central banks and institutional investors. Luqyan Tamanni, Head of the BSI Institute, said gold could climb to $4,000 per troy ounce by 2026. “We’re witnessing a post-Eid surge in gold buying,” he said. “It reflects strong trust in gold’s value, especially amid inflation and currency risks.”
Read more at: https://jakartaglobe.id/business/trumps-tariff-moves-push-indonesians-toward-gold-and-real-estate
