JABAR EKSPRES – Lukman Leong, a currency market analyst, projects that the rupiah exchange rate against the US dollar will remain stable but with a limited weakening trend.
Leong estimates that the rupiah exchange rate will range from IDR15,300 to IDR15,400 per US dollar.
He stated, “Investors are cautious ahead of the publication of US inflation data which is expected to increase year on year (yoy) from 3.2 percent to 3.6 percent (in August 2023).” This was revealed when contacted by Antara, as quoted by Jabarekspres.com, Wednesday, September 13, 2023.
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Leong also explained that the strengthening of the US dollar in recent times had reflected anticipation of the inflation data to be released tonight. In fact, in the last session, the US dollar index experienced a correction as investors took profit.
Therefore, investors tend to take a “wait and see” attitude while considering that the upcoming inflation data could be different from expectations.
Leong also mentioned that factors from the Asian region and China are still putting negative pressure on the rupiah exchange rate.
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On Wednesday morning, the rupiah exchange rate in interbank transactions in Jakarta weakened by 0.09 percent or around 14 points to Rp15,356 per US dollar, compared to the previous at Rp15,342 per US dollar.
At the end of trading Tuesday (Wednesday morning WIB), the US dollar strengthened against a number of other major currencies as investors awaited a report on the US Consumer Price Index (CPI) to be released on Wednesday local time. The dollar index, which measures the value of the US dollar against six other major currencies, rose 0.14 percent to 104.7119 by the end of trading.
