TheJakartaPost
Please Update your browser
Your browser is out of date, and may not be compatible with our website. A list of the most popular web browsers can be found below.
Just click on the icons to get to the download page.
Rupiah weakens slightly at Wednesday's close
The rupiah interbank trade rate on Wednesday closed at Rp 14,132 per US dollar, down 36 basis points from Rp 14,096 per US dollar in the previous trade
Change Size
T
he rupiah interbank trade rate on Wednesday closed at Rp 14,132 per US dollar, down 36 basis points from Rp 14,096 per US dollar in the previous trade.
Platon Niaga Berjangka analyst Lukman Leong said that the global economic slowdown and a slump in Chinese and US manufacturing data had created negative sentiments among investors, encouraging them to seek haven currencies such as the US dollar to hedge their assets.
'The manufacturing data from the two biggest economies have triggered concerns among investors,' he said.
He added that the worsening global economic condition had also stoked concerns, as had continued uncertainty over a potential US interest rate increase.
Meanwhile, Samuel Sekuritas economist Rangga Cita said that market concern over the country's foreign exchange reserves had added fuel to the fire.
'The decline in foreign exchange reserves has the potential to raise concern over Bank Indonesia [BI]'s capabilities to prevent the rupiah from depreciating further,' he said.
