Coronavirus calmed down, IDR rises. (Image via Market Bisnis)

Coronavirus calms down, IDR rises again

On Wednesday’s foreign exchange (forex) spot market opening, Indonesian Rupiah is seen at Rp13,632 against the U.S Dollar (USD). The rate strengthened by 0.08 percent compared to Tuesday’s closing rate at Rp13,644/USD. For today, IDR is moving around Rp13,600 - Rp13,650/USD.

Today, the majority of currencies in Asia – ASEAN regions also strengthened against the USD. Reportedly, Malaysian Ringgit (MYR) strengthened by 0.19 percent, Thai Baht (THB) by 0.18 percent, and S. Korean Won (KRW) 0.17 percent. Next, Singaporean Dollar (SGD) and the Hong Kong Dollar (HKD) strengthened by 0.03 percent and 0.01 percent respectively against the USD.

However, Turkish Lira (TRY) weakened against the USD by 0.01 percent.

On the other hand, the currencies in the developed countries region reacted variously against the USD. The Canadian Dollar (CAD) and Great Britain Pound sterling (GBP) both weakened by 0.05 percent and 0.01 percent respectively.

Meanwhile, the Australian Dollar (AUD) strengthened by 0.12 percent, and the European Union Euro (EUR) by 0.03 percent against the USD.

Indonesian forex experts thanked the calming of the coronavirus behind the strengthening of IDR. However, the growth might be stagnant since the risk assets in the emerging market start to show their might over the calming of coronavirus.

Now, the market turns its head to the monetary decision by the U.S central bank, the Federal Reserve, on Thursday at 2 a.m. If the Fed implements loose monetary policy, the IDR might grow stronger against the USD.

Source: https://bit.ly/2S47HXc