KIWOOM Morning Equity – 30 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. GLOBAL AI CONCERNS DEEPEN, INDONESIA FACES SELLING PRESSURE AND RUPIAH VOLATILITY US MARKET: Wall Street closed lower in Thursday's trading (10/29/26), mainly due to pressure on large-cap stocks in the technology and communication services sectors. Nasdaq Composite fell 1.4% to 26,184.72, S&P 500 weakened 0.3% to 7,720.39, while Dow Jones Industrial Average corrected 0.3% to 52,342.56. The weakness was mainly triggered by Alphabet shares plunging almost 13% after quarterly earnings and revenue at its Google Services unit failed to meet market expectations. This condition also weighed on investment sentiment in the artificial intelligence (AI) sector, amid concerns over the large infrastructure spending and the sustainability of AI investment returns. INDONESIA: Bank Indonesia (BI) has succeeded in attracting foreign capital inflows into the domestic financial market of almost US$12 billion through hedging cost incentives using swap instruments and Domestic Non-Deliverable Forward (DNDF). The funds consist of almost US$10 billion through swap transactions and around US$2 billion through DNDF. The policy was strengthened in October 2026 through a hedging cost discount of up to 30% for swap transactions and an increase in incentives of up to 45% for DNDF. BI Governor Destry Damayanti stated that the strategy aims to increase the attractiveness of foreign portfolio investment and strengthen US dollar supply without having to rely on interest rate hikes. - In addition, BI continues to encourage strengthening external sector resilience through increased exports, particularly non-oil and gas exports, to add to domestic foreign exchange supply. Although prices of several key commodities such as coal, CPO, and nickel have risen, the increase in export value has not fully reflected export volume growth. However, export value began to show improvement in October 2026 and is expected to continue through the end of the year. BI considers the combination of increased exports and foreign portfolio investment inflows an important factor in maintaining rupiah stability, especially amid global uncertainty that is pushing investors toward safe haven assets, including the US dollar. JCI closed 3.49% lower at 5,098.06 in Thursday's trading (10/29/26). Foreign investors recorded net sell of Rp1.52 trillion in the regular market, and net sell of Rp1.08 trillion across all markets, while cash and negotiated transactions recorded net buy of Rp441.74 billion. Accumulated foreign net sell on a YTD basis reached Rp126.19 trillion. The largest foreign net buying was recorded in BUMI, CUAN, AMRT, DEWA, DSSA, ASII, ENRG, EMAS, BRMS, and KETR. Meanwhile, the largest foreign net selling occurred in BBCA, BBRI, BMRI, ANTM, TLKM, ISAT, TINS, UNTR, ADRO, and PTBA. The Rupiah weakened to Rp18,185/USD before recovering to Rp18,120/USD, supported by BI intervention through the NDF, DNDF, and spot markets, as well as government bond (SBN) purchases in the secondary market. Technically, JCI continued its downtrend with the RSI (14) falling again to 28. JCI is expected to be vulnerable to testing the nearest support at 4,980 / 4,907. If it breaks down, JCI could continue toward support at 4,456 (FR 161.80%). Meanwhile, in the rebound scenario, JCI has the potential to move in the resistance range of 5,182 / 5,249 / 5,320. Investors are advised to remain cautious, apply a buy on weakness strategy selectively or tend to wait for clear signal confirmation.