Editor’s Note
- Profit Opportunities in 2026 on the US, European, and Jakarta Composite Stock Markets
Large-Cap Stocks - US Technology Stocks Relatively Expensive
- Solid Economic Conditions Remain Domestic
Profit Opportunities in 2026 on the US, European, and Jakarta Composite Stock Markets
The global stock market began a positive trend in early 2026, although volatility remains relatively high.
Capital market analyst Hans Kwee believes the market’s strengthening trend will continue, supported by several fundamental factors, both in terms of monetary policy and corporate performance.
Hans explains that the US stock market is expected to continue its rally in 2026. However, this strengthening will be accompanied by sharper fluctuations than the previous year.
“Several factors are supporting stock valuations, ranging from corporate earnings growth and the Federal Reserve’s increasingly accommodative policy to the still substantial fiscal stimulus measures,” says Hans.
Large listed companies
Interestingly, US profit growth is no longer driven solely by large listed companies.
By 2026, earnings contributions will spread across more sectors and issuers, strengthening market fundamentals more evenly.
Regarding monetary policy, the Fed is expected to adopt a neutral interest rate stance, with the possibility of two rate cuts, one in March and one in June.
Meanwhile, European stock markets also showed impressive performances. During 2025, the major European indices posted their strongest annual performance since 2021.
Relatively expensive US technology stocks
This performance was supported by a combination of lower interest rates, Germany’s commitment to fiscal expansion, and investors who began diversifying their portfolios and becoming less reliant on relatively expensive US technology stocks.
“The performance of European stock markets is expected to continue into 2026,” said Hans.
For the domestic market, Hans considers the outlook for Indonesian equities promising.
Domestic economic conditions remain solid
The JCI is expected to have room to rise, supported by several positive factors, ranging from Indonesia’s trade diplomacy with the United States to the continued solid domestic economic conditions.
“Relatively low inflation figures for Indonesia are expected next week, and the Indonesian trade balance is expected to return to positive territory. US employment figures will be released at the end of the week. The JCI has the potential to consolidate and rise, with support between 8,664 and 8,537 and resistance between 8,776 and 8,800,” he concluded. ***rau
