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USD/IDR Price News: Rupiah nurses losses near 14,350 on hotter Indonesian inflation
Indonesia’s annual inflation rate extended its acceleration in November, according to the latest data published by Statistics Indonesia showed Wednesday.
Indonesian November’s inflation rate rose to 1.75% on the year when compared with October’s 1.66%, although remained way below the Bank Indonesia’s (BI) 2.5-4.5% target range.
The annualized core figure arrived at 1.44% vs. 1.33% previous and 1.43% expected.
Meanwhile, the monthly inflation reading for November came in at 0.37% vs. 0.31% expected and 0.12% last.
USD/IDR reaction
At the press time, the spot adds 0.17% on the day to trade at 14,345. The pair failed to react to the inflation data, consolidating gains below daily highs of 14,362.
About Indonesia’s CPI
The Inflation index released by Statistics Indonesia is a measure of price movements by the comparison between the retail prices of a representative shopping basket of goods and services. The purchase power of the Indonesian Rupiah is dragged down by inflation. The CPI is used as a key indicator to measure inflation and changes in purchasing trends. Generally speaking, a high reading is seen as positive (or bullish) for the Rupiah, while a low reading is seen as negative (or Bearish).
Source: https://www.fxstreet.com/news/usd-idr-price-news-rupiah-nurses-losses-near-14-350-on-hotter-indonesian-inflation-202112010422