Indonesia's central bank unexpectedly cut interest rates to 4.75%, stock market rises bond yields fall

According to Jinshi data, the Indonesian central bank unexpectedly cut interest rates again and said it is seeking room for further interest rate cuts. The move aims to respond to protests caused by unemployment and low wages by boosting the economy. The central bank cut its benchmark interest rate to 4.75% on Wednesday, reducing borrowing costs by 150 basis points in the past 12 months. The market expects to remain unchanged at 5%. The decision drove Indonesia's stock market to rise and bond yields fell. Although the Indonesian rupiah gave up its early gains before the resolution was announced, it remained relatively stable overall.