TEMPO.CO, Jakarta - The rupiah's interbank rate fell on Monday's trade closing amid ongoing projections that The Federal Reserve would raise its interest rate. The rupiah ended today's trade with a 0.36 percent correction to Rp14,892 per US dollar compared to last week's close.
"The US dollar gained over expectations of a Fed Rate hike," Faisyal, an analyst with Monex Investindo Futures, said in his review in Jakarta, August 22.
In the morning, the rupiah opened at a weak spot of Rp14,890 per US dollar, and spent the day moving between 14,869 and 14,895.
Meanwhile, Bank Indonesia's Jakarta Interbank Spot Dollar Rate (JISDOR) fell to Rp14,882.
Market players are expecting a Fed Rate hike after the US central bank's officials said last week that they need to keep raising rates in order to curb inflation in the USA, which had reached a new four-decade peak in June.
Market players are speculating a 50-bps increase in September, as Fed officials voiced support for an aggressive interest hike over fears that the inflation decline is temporary.
For now, financial markets are waiting for Fed Governor Jerome Powell's speech that will take place at the Jackson Hole symposium this week.
ANTARA
Click here to get the latest news updates from Tempo on Google News
