Indonesian share prices closed 1.80 percent lower on Tuesday on profit-taking after recent sustained gains, with investors unsettled by the prospect of higher interest rates if upcoming fuel price hikes add to inflation pressures, dealers said.
The Jakarta Stock Exchange composite index closed down 19.913 points at 1,085.744 after five straight days of gains.
Volume was 1.44 billion shares worth 1.36 trillion rupiah (134.5 million dollars).
Declines led advancers 87 to 26, with 62 stocks unchanged.
The rupiah traded slightly lower at 10,070-10,080 to the dollar compared to Monday's 10,085-10,095.
"Profit-taking would be the main reason for the fall because the market had been rising for five days in a row. There's also the unfavourable news about fuel prices going up next month," said Mega Capital Indonesia analyst Dwika Sari.
Ramayana Artha Perkasa analyst Inggit Puri Asih said investors feared the early October fuel price hike plans would drive interest rates up faster than expected.
She said the one-month Bank Indonesia Certificate (SBI) benchmark rate - currently at 10 percent - could rise to 12 percent by year-end against the previous estimate of 11 percent.
Telkom lost 300 rupiah to 5,300 and long distance operator Indosat also dropped 150 to 5,200.
Carmaker Astra International dropped 100 to 11,050 rupiah and unit United Tractors fell 125 to 3,875.
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