Indonesia: Rupiah Down to 13.778 per USD After Fed Speech

• Apr 19, 2018

TEMPO.CO, Jakarta – Jakarta inter-bank spot dollar rate (JISBOR) showed the rupiah depreciating by eight points to trade for Rp13,778 per US dollar on Thursday morning.

Monex Investindo Futures analyst Faisyal said Thursday, April 19, that the US dollar is gaining over a number of world currencies after a Fed official’s speech showed the central bank’s optimism about the US economy. 

“Investors will be looking forward to the next Fed official speech for further hints of the US central bank policies,” he said.

According to Faisyal, if there is a strong outlook for a Fed Rate hike, there is a wide chance for the greenback to appreciate further. 

Meanwhile, Binaartha Parama Sekuritas analyst Muhammad Nafan Aji said rupiah is still relatively stable, supported by friendly domestic macroeconomic situations.

“Indonesia’s debt rating is up, our fiscal is also well-maintained, these conditions indicate economic stability,” he said.

He added that Indonesia’s substantial foreign exchange reserves also strengthen the national economic resilience against potential external turmoil.

Source: https://en.tempo.co/read/news/2018/04/19/056917722/Rupiah-Down-to-13778-per-USD-After-Fed-Speech