Markets
7.3
MSCI Downgrade Threat Sends Indonesian Stocks Plunging
Published 14 h ago2 sourcesEvidence: Unknown
SeverityHighAssessedDeveloping storyThe DiplomatLow-rated sourceID
Indonesian equities plunged 11.5% on Friday, the largest drop on record, and fell further Monday after MSCI said it may downgrade the country's index status. The move signals a loss of investor confidence and potential outflows, though the trigger for the initial crash remains unclear. This could pressure the rupiah and raise sovereign risk.
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