An analyst from PT Platon Niaga Berjangka, Lukman Leong, said in Jakarta on Wednesday that activities in the domestic financial market, which tended to be minimal ahead of Christmas festivities and two days of leave for the country'€™s employees on Thursday and Friday, had caused not-too-deep pressures against the rupiah in the midst of US gross domestic product growth sentiments in the third quarter of this year.

'€œRupiah sentiments were actually quite negative due to global factors; however, many investors left their activities so that the rupiah only weakened slightly,'€ said Lukman, as quoted by Antara news agency.

On the other hand, the analyst further said, Bank Indonesia (BI) had maintained the stability of the rupiah. Interventions conducted by the Indonesian financial authority were still at a relatively normal level.

'€œUntil the end of this year, the rupiah will continue to move within a range of between Rp 12,400 to Rp 12,500 per dollar,'€ said Lukman.

Monex Investindo head of research Ariston Tjendra said the weakening of the rupiah could be considered normal amid quite high demand for US currency ahead of year-end.

He said the dollar strengthening was supported again by the US economy, which was good, so that market players predicted that the US Federal Reserve (Fed) would increase its benchmark interest rate in the middle of 2015.

The BI median rate recorded that the rupiah weakened to Rp 12,467 per dollar on Wednesday from Rp 12,456 on Tuesday. (ebf)

Popular

Israel army says 'encourages' eastern Rafah residents to leave

Indonesia oldest shoemaker Bata closes its only factory

More than meets the eye in photo of orangutan ‘offering help’ to man