Rupiah Closes at Rp 14,327 per US Dollar on Friday
11 September 2015 19:30 WIB
TEMPO.CO, Jakarta - Rupiah's interbank exchange rate in Jakarta on Friday went slightly up by five points at the end of the trading session to conclude trading at Rp 14,327 per US Dollar - up from its' previous trading position at Rp 14,332 per US Dollar.
"The Rupiah is experiencing some limited uptrend, which is technical in nature - especially considering the fact that market players are choosing to wait and see in light of the upcoming US Federal Reserve meeting that is due to take place between September 16 to September 17, 2015," said an analyst for LBP Enterprises, Lucky Bayu Purnomo in Jakarta on Friday, September 11, 2015.
If the US Federal reserved decides to raise its' fund rate from its' current level at 0,25 percent, then the Rupiah could possibly depreciate further, says Lucky. "The Rupiah could slide past Rp15,000 per US Dollar in the next two to three months," he said.
Lucky hopes that the government would do more to anticipate the possibility of a Fund rate hike - primarily by driving up consumption through the reduction of the Bank Indonesia (BI) rate.
"When BI rate is reduced, the Rupiah could depreciate - but this will only be temporary in nature. As societal consumption begins to climb, investments and credits will also rise," said Lukman.
The Head of Research for Monex Investindo Futures, Ariston Tjendra, said that the limited appreciation in the prices of commodities such as gold, silver, and crude oil, has helped other currencies by arresting the continuous uptrend of the US Dollar.
"The prices of commodities usually go in the opposite direction as the Dollar - it usually rises when the Dollar dips, because it becomes cheaper, which subsequently causes demand to rise," said Ariston.
BI middle rate on Friday's close stands at Rp 14,306 per US Dollar - up from its' previous position at Rp 14,322 per US Dollar.
ANTARANEWS