According to Jinshi data, as the strengthening dollar diminishes the appeal of emerging market assets, the Indonesian stock market has seen capital outflows for 15 consecutive trading days, with foreign capital outflow reaching $891 million in November.
The Indonesian benchmark index has fallen about 9% from its historic high on September 19, nearing the edge of a correction. The recovery of the dollar and rising U.S. Treasury yields have severely impacted emerging market assets.
The Indonesian rupiah fell by 1% this month. Data from the Indonesian Ministry of Finance shows that foreign investors net sold $810 million in Indonesian government bonds this month, marking the first capital outflow since April.