Monday Morning Sees Rate at Rp12,165 per US Dollar
6 October 2014 16:42 WIB
TEMPO.CO, Jakarta - Rupiah's interbank exchange rate in Jakarta on Monday morning slid by five points to begin trading at Rp12,165 per United States (US) Dollar.
The Head of Research at Monex Investindo Futures Ariston Tjendra, said that the US Dollar is gaining against the Rupiah as positive job figures re-ignited speculations that the Federal Reserve will raise its principal interest rate sooner that previously expected.
The US Department of Labor reported a positive growth on its' non-farm payroll numbers in September - a growth which surpassed experts' estimates. Meanwhile, September's unemployment figures declined to 5.9 percent, down from 6.1 percent in August.
"These positive development in the US is putting pressure on the currencies of the developing world, including the Rupiah," he said.
An analyst for Bank Himpunan Saudara, Rully Nova, said that the global sentiment surrounding the possibility of a Fed rate hike in the US, as well as the negative sentiment which is generated by the current domestic political situation, continues to hold the Rupiah back.
"Internal and external factors are not currently on Rupiah's side," said Rully. According to Rully, Indonesia's trade deficit as per August of US$318,1 million, is also putting more pressure on Rupiah's exchange rate.
Rully also called on Bank Indonesia to do more to prevent the Rupiah from losing more of its value.
ANTARA | ZUBI MAHROFI | MARYATI
