COVID-19 once again slowed down IDR's growth. (Image via Market Bisnis)

COVID-19's effect, IDR stuck at Rp13,706/USD

On Friday’s foreign exchange (forex) spot market opening, Indonesian Rupiah (IDR) is seen at Rp13,706 against the U.S Dollar (USD). The rate weakened by 0.09 percent compared to Thursday’s closing rate at Rp13,694/USD. For today, IDR is moving around Rp13,650 - Rp13,730/USD.

Today, the majority of currencies in Asia – ASEAN regions weakened as well against the USD. Reportedly, Malaysian Ringgit (MYR) weakened by 0.12 percent, Thai Baht (THB) by 0.09 percent, Chinese Yuan (RMB) by 0.07 percent, Singaporean Dollar (SGD) by 0.07 percent, S. Korean Won (KRW) by 0.06 percent, and Turkish Lira (TRY) by 0.02 percent against the USD.

Meanwhile, Indian Rupee (INR), the Hong Kong Dollar (HKD), and the Japanese Yen (JPY) strengthened altogether by 0.01 percent against the USD.

On the other side of the world, the majority of currencies in the developed countries region strengthened instead against the USD. Great Britain Pound sterling (GBP) and the Canadian Dollar (CAD) strengthened by 0.01 percent and 0.02 percent respectively.

Only the European Union Euro (EUR) weakened against the USD by 0.02 percent, while the Australian Dollar (AUD) remains stagnant against the USD.

Indonesian forex experts warned that the IDR’s weakening is caused by the COVID-19 originating from Wuhan, capital of Hubei Province, Central China. The significant increase of confirmed cases and death toll caused the financial market to worry, avoiding risk assets such as IDR.

Therefore, the market is hoping for positive news on COVID-19 to retain IDR's stance back to normal.

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