Trade

Rupiah Weakens to IDR 15,254 per US dollar on Monday

The rupiah further weakened on Monday, quoted at Rp 15,254 per United States dollar at 3 p.m. or 0.44 percent lower than its position last week, setting a new low since the weakening trend began in January.

Meanwhile, according to the Jakarta Interbank Spot Dollar Rate (Jisdor), the rupiah exchange rate stood at Rp 15,193 per US dollar on Monday, compared to 15,182 on Friday.

Futures firm Monex Investindo Futures analyst Faisyal said that the US non-farm payroll data in September was recorded at 134,000, which was lower than analysts’ expectations of 185,000.

However, the under performing data was compensated by the US unemployment rate, which was recorded at 3.7 percent, the lowest in the last 49 years, he said, adding that the low unemployment rate had put the US dollar in a solid position against other currencies.

The other data that supported the US economy included the increasing yield of the 10-year tenor US treasury, which was expected to continue until December and the continuing increase of the global oil price, the analyst said.

Faisyal said all the above facts potentially burdened the Indonesian current account, which is in deficit by 3 percent against the gross domestic product (GDP).

“Data on Indonesia’s decreasing foreign exchange reserve is also not good news for the rupiah,” he said as quoted by kontan.co.id.

He said the rupiah exchange rate was potentially corrected on Monday with the exchange rate hovering between Rp 15,150 and Rp 15, 250 per US dollar. (bbn)

The Jakarta Post

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