With the advancement of the trade negotiation between the U.S and China, IDR is rising from the ashes. (Image via Market Bisnis)

IDR rises to Rp13,885/USD amid the U.S - China trade negotiation

On Friday’s foreign exchange (forex) spot market opening, the Indonesian Rupiah (IDR) is seen at Rp13,885 against the U.S Dollar (USD). The rate strengthened by 0.06 percent compared to Thursday’s closing rate at Rp13,983/USD. For today, IDR is moving around Rp13.830 - Rp13.920/USD.

Today, the majority of the currencies in the Asia – ASEAN regions strengthened against the USD. Reportedly, both S. Korean Won (KRW) and Japanese Yen (JPY) strengthened by 0.14 percent, Thai Baht (THB) by 0.10 percent, and Taiwanese Dollar (TWD) by 0.06 percent against the USD.

Meanwhile, the Philippines Peso (PHP) also strengthened by 0.04 percent, Singaporean Dollar (SGD) by 0.02 percent, and the Hong Kong Dollar (HKD) by 0.01 percent against the USD.

Only Malaysian Ringgit (MYR) weakened against the USD by 0.03 percent, while Turkish Lira (TRY) remains stagnant against the USD.

The currencies of developed country regions reacted variously against the USD. Great Britain Pound sterling (GBP) and European Union Euro (EUR) strengthened against the USD by 0.13 percent and 0.03 percent respectively.

However, the Canadian Dollar (CAD) weakened by 0.02 percent, followed by the Australian Dollar (AUD) weakening by 0.12 percent against the USD.

Indonesian forex experts explained the strengthening of IDR as the result of the certainty of the signing date of “Phase One” negotiation between the United States (U.S) and China. The President of the U.S, Donald Trump, revealed further detail about the signing held on 15 January.

On the other hand, the U.S obligation's yield weakened; and, it might contribute to another strengthening of IDR later on.

Source: https://bit.ly/37tukKy