IDR is reaching Rp16,500/USD. (Image via Tempo.co)

Alert! IDR reaches Rp16,500/USD!

Alfonsus Adi Putra
Market & Investment
Foreign Exchange & Interest Rate
Apr 06, 2020
1743
On Monday’s foreign exchange (forex) spot market opening, Indonesian Rupiah (IDR) is seen at Rp16,500 against the U.S Dollar (USD). The rate went down by 70 basis points or 0.43 percent compared to Friday’s closing rate at Rp16,430/USD. For today, IDR is moving around Rp16,300 - Rp16,500/USD.

Rupiah is not alone. The majority of currencies of Asia – ASEAN countries also weakened altogether today. Reportedly, the Japanese Yen (JPY) weakened by 0.33 percent, Malaysian Ringgit (MYR) by 0.26 percent, S. Korean Won (KRW) by 0.25 percent, Hong Kong Dollar (HKD) by 0.01 percent, and the Philippines Peso (PHP) by 0.01 percent.

Only Thai Baht (THB) remains in the green zone by strengthening by 0.19 percent against the USD.

On the other side of the world, the currencies of the developed countries. The Australian Dollar (AUD) strengthened by 0.58 percent, European Union Euro (EUR) by 0.21 percent, and the Canadian Dollar (CAD) by 0.04 percent against the USD.

Meanwhile, Russian Ruble (RUB) weakened by 0.98 percent, Great Britain Pound sterling (GBP) by 0.22 percent, and Swiss Franc (CHF) by 0.01 percent.

Indonesian forex experts stated that the weakening is caused by the negative sentiments emitted by the novel coronavirus (COVID-19) pandemic outbreak. There have not been any alleviating sentiments such as an economic stimulus, both from domestic and foreign governments. On the other hand, even rolled out, the economic stimulus could only alleviate IDR’s rate temporarily.

The rest lies in the government’s effort to tackle the COVID-19 outbreak. For example, the large-scale social distancing (PSBB) could crank IDR up. However, until now, the implementation is still under discussion.

Source: https://bit.ly/3aPxg6c

Market , Investment , Economy , Finance , Forex , ASEAN , Indonesia , IDR , USD , COVID-19