27 July 2026
Market Summary:
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Global Equity: Global equities were mixed as an AI-led selloff hit US indices, with investors questioning how aggressive capex converts to profitability after Alphabet posted negative free cash flow for the first time. Europe outperformed while Asia was mixed, leaving MSCI World only -0.39%.
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Domestic Equity: JCI ended a volatile week +0.34%, though breadth was narrow with LQ45 -1.15% and IDX80 -0.52%. Friday’s selloff pared gains on profit-taking after the index breached 6,400 intraday, compounded by escalating US–Iran tension.
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Domestic Bond Market: IndoGB 10Y yield rose 9bps WoW to 7.35%, while UST 10Y +13bps to 4.68% as Brent’s 9.9% surge to USD96.78/bbl revived inflation risk premia.
Key News of The Week:
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Brent breached USD100/bbl before easing to USD96.78 (+9.9% WoW) after Friday reports of Pakistan-driven, China-backed mediation.
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Alphabet beat on 2Q26 earnings but lifted 2026 capex guidance to USD195–205bn from USD180–190bn, reigniting hyperscaler spending concerns.
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UST yields surged to 18-month highs, driven by oil-led inflation expectations and heavy credit issuance tied to AI capex funding.
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The US imposed new import tariffs of 10.0–12.5% on goods from ~60 economies under Section 301 following a forced-labor investigation, replacing the previous global tariff regime.
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ECB held the deposit rate at 2.25%, with Lagarde flagging a possible September hike.
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BI held the BI-Rate at 5.75% at the 21–22 Jul RDG, against majority economist expectations of a 25bps hike.
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M2 growth moderated to +8.7% YoY in Jun’26 (prev: +10.8%) on slower demand deposits, partly offset by stronger time deposits.
- 1H26 APBN recorded a deficit of IDR196.5tn (0.76% of GDP), with revenue +21.4% YoY, spending +17.8%, a primary surplus of IDR85.1tn, and financing already 65.6% realized.
Our View
Next week, the focus turns to the FOMC, BoJ and BoE rate decisions, with mega-cap tech earnings and OPEC+ framing the two dominant risks: AI capex and US–Iran geopolitical tension. Alphabet’s guidance raise last week made the capex question concrete, and Microsoft, Meta, Apple and Amazon will either confirm or contain it.
Product Recommendation:
RD MISB, RD MMUSD, RD IDAMAN, RD MIDU, RD MIDSYA, RD MGSED, RD MASED, RD FTSE, ETF LQ45, ETF SRI Kehati, MICB, MITRAS.
Discover a detailed analysis of this week’s market performance in our comprehensive Weekly Market Recap: Read More
| PRODUCT | 3M PERFORMANCE | YTD PERFORMANCE |
|---|---|---|
| JCI | -13.09% | -28.34% |
| LQ45 | -11.00% | -27.38% |
| EQUITY | ||
| MITRA A | -10.59% | -19.15% |
| MICB A | -11.30% | -18.52% |
| ASEAN5 | -12.23% | -21.05% |
| MGSED | +3.65% | +12.65% |
| IINDEX | ||
| FTSE ESG A | -5.95% | -19.90% |
| ETF | ||
| XMLF | -8.53% | -23.93% |
| BALANCED | ||
| MISB | -13.80% | -11.65% |
| MIA | -12.58% | -13.55% |
| FIXED INCOME | ||
| MIDU A | -1.62% | -1.87% |
| MIDO2 | -3.47% | -3.82% |
| IDAMAN A | -3.87% | -4.08% |
| MONEY MARKET | ||
| MIPU A | +1.44% | +1.30% |
| MMUSD | +1.54% | +1.43% |
*The data above is as of July 24th, 2026
For More Information
Contact Mandiri Investasi – (021) 526 3505
Email Mandiri Investasi – [email protected]
Mandiri Investasi – mandiri-investasi.co.id
DISCLAIMER
The information and opinions expressed in this article are for general informational purposes only and are not intended as specific advice or recommendations for any individual, security, or investment product. The content is meant to provide education about the financial industry. Opinions and views presented may change without prior notice. All performance data and investment returns mentioned in this article should not be used as a guarantee or basis for decisions to buy or sell any securities. The data reflects historical performance and does not guarantee future results. Investing in mutual funds carries risks. Investors are advised to carefully read and understand the prospectus before making any investment decisions.
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