Indonesian Bonds Resume Decline as Market Confidence Stays Weak

Indonesia’s bond selloff resumed after a surprise interest-rate hike earlier this week only briefly stabilized the market. Investors are refocusing on broader economic concerns driving the rout, keeping pressure on local bonds and yields. The move suggests continued risk-off sentiment across Indonesian fixed income and emerging markets.

Analysis

Indonesia’s bond selloff resumed after a surprise interest-rate hike earlier this week only briefly stabilized the market. Investors are refocusing on broader economic concerns driving the rout, keeping pressure on local bonds and yields. The move suggests continued risk-off sentiment across Indonesian fixed income and emerging markets.