Rupiah Closes Stronger on Friday

The rupiah and the greenback

Jakarta, MINA – The rupiah value against the US dollar strengthened on Friday gaining 128 points to the level of 13,182 per dollar from 13,310 earlier.

Analyst of PT Platon Niaga Berjangka Lukman Leong was quoted by Antara News as saying that it was not easy for the US Central Bank (The Fed) raise its fund rate on slow growth of inflation.

The difficulty in raising the fund rate is a factor putting pressure on the US dollar facing the majority of currencies in the world including rupiah, Lukman said.

“Regional currencies like baht of Thailand, ringgit of Malaysia, and Singapore dollar are also gaining against the US dollar,” he said.

In addition report about Deputy Governor of The Fed , Stanley Fischer, who had tendered his resignation had a negative impact on the US dollar amid unfavorable political condition in that worlds largest economy.

“The situation led the market players to predicting that the US economy would not improve in the near future. The factor of investors especially foreign investors declining confidence in the President Donald Trump also contributed to weakening the dollar,” Lukman said.

Meanwhile Indonesias foreign exchange reserves predicted to rise further after peaking in August strengthened rupiah, he said. (T/RS5/RS1)

Mi’raj Islamic News Agency (MINA)