Indonesia’s benchmark stock index falls 5% to lowest since 2020

The simultaneous equity slide and bond yield spike point to pressure across Indonesia's financial markets rather than an isolated stock story, with the 10-year yield at a four-month high suggesting investors are demanding more compensation for risk. The drop to a 2020 low erases years of gains, which matters most for domestic institutional holders and retail investors who have treated Indonesian equities as a core allocation. The open question is whether this is a contained repricing or the start of a broader capital outflow cycle, and whether the bond market stabilizes before equity selling accelerates.