Rupiah Gains on Potential Economic Slowdown in U.S.
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27 December 2018 18:07 WIB
TEMPO.CO, Jakarta - The rupiah gained 27 bps to trade for 14,564 per U.S. dollar this morning, as the market sees potentials of weakening economy in the United States.
CSA Research Institute analyst Reza Priyambada said that the US dollar is moving downwards due to potentials for the sluggish economy as an effect of the trade war and the government shutdown.
"The US dollar weakens against a number of global currencies, including the rupiah," he said on Thursday, December 27.
The government shutdown is also causing the US Treasury yield to decline, thus opening a chance for capital flows to emerging markets, such as Indonesia.
Read: Rupiah Exchange Rate Strengthens to Rp14,618
Putu Agus Pransuamitra from Monex Investindo Futures added that the market is now waiting for America's consumer trust index. "If the release shows a trust level below market expectation, the dollar might come under more pressure," he said.
ANTARA
