When European stock indices opened mostly lower on Monday, it meant there was no way up for the IHSG. The index closed at 4,894.59, a 0.86 percent decline. Trade volume and total value of transactions fell. Domestic investors too were mostly selling their Indonesian assets.

The IDR rupiah movement was stagnant due to economic data from China that indicate a slowdown in the country's economic growth. These data include China's annual Industrial Production (which fell to 8.9 percent) and its annual gross domestic product (fell to 7.7 percent). In Europe, problems concerning Cyprus remain as it is estimated the bailout will need more money than initially calculated. Moreover, the constitutional court of Portugal rejected part of the government's austerity measures aimed at meeting conditions of its bail-out.

| Source: Bank Indonesia

Furthermore, last week's meeting of Indonesia's central bank (Bank Indonesia) in which the key benchmark interest rate (BI rate) was held at 5.75 percent, despite higher March inflation (5.90 percent YoY), was not well-received as the bank's decision did not point towards implementation of a stricter monetary policy.

Asian stock indices continued their downward paths after data from China was disappointing; both monthly and annual GDP were below market expectations. The resulting negative market sentiments were somewhat reduced by Australia's increased Home Loans and China's annual Retail Sales. Besides tensions in Korea, tensions also emerged because the US government does not want Japan to devalue its currency.