KIWOOM Morning Equity – 22 October 2026 This document is for information only and for the use of the recipient. It is not to be reproduced or copied or made available to others. AI RALLY SUPPORTS GLOBAL MARKETS, BI EASES LIQUIDITY TO MAINTAIN MARKET STABILITY US MARKET: Wall Street closed higher on Wednesday (21/10/26). S&P 500 rose 0.6%, Nasdaq Composite strengthened 1.1%, and Dow Jones added 360 points. SpaceX jumped 7.8% after reporting its first profit as a public company and disclosing merger talks with Tesla, whose shares rose 3.4%. Super Micro Computer jumped 9.5% on strong quarterly guidance, driving gains of 2.5% for Nvidia, 3.4% for AMD, and 1.3% for Intel. In contrast, Netflix fell 5.3% after giving Q4 earnings guidance below expectations, while AT&T dropped 6.4%. INDONESIA: Bank Indonesia (BI) kept the BI-Rate at 5.75% and the Lending Facility at 6.50%, while the Deposit Facility was raised 25 basis points (bps) to 5% at the 21 – 22 October 2026 Board of Governors Meeting (RDG). BI also strengthened hedging incentives through the Domestic Non-Deliverable Forward (DNDF) instrument with a reduction in hedging costs of up to 45% to attract foreign capital inflows, maintain rupiah stability, and deepen the domestic financial market. From June to October 2026, optimization of swap and DNDF instruments has attracted inflows of US$9.9 billion. - On the other hand, BI gradually lowered the conventional commercial bank Reserve Requirement Ratio (GWM) from 9% to 7% starting November – December 2026, which is estimated to add around Rp190 trillion in banking liquidity. This policy was taken amid pressure from capital outflows following MSCI's evaluation of Indonesia's stock market classification. BI affirmed that rupiah stability remains a priority, while maintaining economic growth momentum and keeping inflation within the 2.5±1% target range for 2026 – 2027. JCI closed up 0.94% at 5,328.36 in Wednesday's (21/10/26) trading. Foreign investors booked a net sell of Rp527.80 billion in the regular market, but recorded a net sell of Rp70.71 billion across all markets, while cash and negotiated transactions recorded a net buy of Rp457.09 billion. Accumulated foreign net sell YTD reached Rp119.10 trillion. The largest foreign selling pressure occurred in BMRI, ANTM, TLKM, BBRI, AADI, PTBA, TINS, BBNI, BRIS, and EMAS. Meanwhile, the largest foreign fund inflows were recorded in BBCA, BRMS, AMMN, DMAS, TPIA, PACK, BRPT, VKTR, MNCN, and CPIN. In the foreign exchange market, the Rupiah traded stronger, moving toward Rp18,000 per US Dollar after briefly touching Rp18,060, then recovering following Bank Indonesia's decision to hold the BI-Rate at 5.75% for a fourth consecutive month. Technically, JCI moved volatile at times but managed to close above the 5,317 level. RSI (14) rose again to the 30.8 level, indicating room for recovery. If JCI can hold above 5,317, it has the chance to go on to test the 5,404 level, and if it breaks out, continue toward resistance at 5,607 – 5,631. However, if pressure rises again and JCI fails to hold above 5,317, it could return to support at 4,999 / 4,907, and a breakdown would risk continuing the weakness toward the 4,456 (FR 161.80%) area. Investors are advised to remain cautious, apply a selective buy on weakness strategy, and wait for further confirmation before accumulating more aggressively.