Indonesia’s stock market suffered its worst one-day collapse in nearly three decades after MSCI said the country’s continued classification as an emerging market was no longer appropriate, raising the prospect of billions of dollars in forced foreign selling. The Jakarta Composite Index plunged as much as 11.4% on Friday to its lowest level since November 2020. The fall was the steepest since January 1998 and triggered a 30-minute trading halt after the benchmark opened 8% lower.
The rupiah also weakened sharply to 18,070 per dollar, its lowest level since late July and close to its lifetime low of 18,190.
