This study aims to explain the Indonesian capital market reaction to the announcement of the election vote results and the inauguration of the United States President. The population in this study are companies listed in the index LQ45 Indonesia Stock Exchange period August 2016. Sampling method in this study is nonprobability sampling and total sample are 45 companies. This study uses non-participant observation technique to collect data and event study method with paired t-test analysis techniques to test the significance level of abnormal return. This study finds that (1) there is difference in abnormal return before and after the announcement of the election vote results and (2) there is difference in abnormal return before and after the inauguration of the United States President. The findings indicate that there is market reaction around the announcement of the election vote results and the inauguration of the United States President.