These outflows were partly behind the 0.86 percent contraction of Indonesia's benchmark Jakarta Composite Index over the past trading week. On Thursday (31/08), the last trading day of the week, the benchmark index fell 0.14 percent to IDR 5,864.06 points (the next day markets were closed in Indonesia for the Idul Adha celebrations).

Throughout the week, the average daily transaction volume was down 3.07 percent from 9.75 billion shares to 9.46 billion shares.

These bleak figures show that foreign and domestic investors are currently wary amid lack of sentiment in the domestic market. Meanwhile, tensions related to North Korea's missile tests heightened after the latest - more severe - provocation (North Korea having launched a missile above Japan), although the improving outlook for China's economic growth should provide some support.

Moreover, Indonesia's Jakarta Composite Index touched an all-time record high level on 25 August 2017, hence making it more attractive for investors to engage in profit taking amid bleak domestic and global conditions as well as the high valuations of Indonesian stocks.

Jakarta Composite Index - IHSG: