Samuel Sekuritas economist Rangga Cipta said that the appreciation of the rupiah was in line with most currencies across Asia, which strengthened against the US dollar during first trading on Monday.

'€œEven though the number of unemployed persons in the US is decreasing, the US dollar has lost its momentum in the market,'€ Rangga said as quoted by Antara news agency.

One of the trends that helped strengthen the domestic currency in the morning trading session was market expectations for a decline in Indonesia'€™s inflation rate.

'€œThe fact that the government postponed its plan to increase basic electricity fees has spurred optimism that inflation will decrease in 2015,'€ he added.

In addition, he said market players were optimistic that the country would record more surpluses in its trade balance in the near future, creating more positive trends for the rupiah.

Moreover, Woori Korindo Securities Indonesia's head of research, Reza Priyambada, said that the appreciation of the Japanese yen and the British pound has weakened the US greenback.

'€œMarket players are using the momentum to make transactions in rupiah,'€ Reza said. (nfo)

Popular

Pope Leo urges end to 'madness of war' as US, Iran start talks

TNI hands over acid attack case to military prosecutors

America's currency is the Global South's problem