IDR facing USD. (Image via Market Bisnis)

IDR weakens to Rp13,905/USD

On Tuesday's foreign exchange (forex) spot market opening, the Indonesian Rupiah (IDR) is seen at Rp13,905 against the U.S Dollar (USD). The rate weakened by 0.07 percent compared to Monday's closing rate at Rp13,895/USD.

Unlike IDR, today, the majority of currencies of Asian countries strengthened against the USD. Reportedly, Singaporean Dollar (SGD) strengthened by 0.10 percent, New Taiwan Dollar (TWD) by 0.26 percent, Indian Rupee (INR) by 0.13 percent, Chinese Yuan (RMB) by 0.04 percent, and Thai Baht (THB) by 0.03 percent. However, some currencies also joined IDR, such as S. Korean Won (KRW) weakened by 0.43 percent, the Philippines Peso (PHP) by 0.06 percent, the Japanese Yen (JPY) by 0.02 percent, and Malaysian Ringgit (MYR) by 0.15 percent.

On the other side of the world, the currencies of developed countries reacted differently toward the USD. Reportedly, the Great Britain Pound sterling (GBP) and the Australian Dollar (AUD) weakened by 0.01 and 0.18 percent respectively. On the contrary, the Canadian Dollar (CAD) and Swiss Franc (CHF) went up by 0.05 and 0.02 percent respectively.

Speaking on Tuesday, the Indonesian forex analyst and Head of Research at Monex Investindo, Ariston Tjandra, stated that USD is actually still buffetted, staying at 89 like yesterday. Nonetheless, the IDR is damaged by the negative sentiment on the novel coronavirus disease (COVID-19) pandemic. Fortunately, Tjendra said that IDR has the potential to rise today, as the USD is likely to weaken by the fiscal stimulus and keep its reference rate low.

Therefore, Tjendra predicted that IDR may move around Rp13,800 - Rp14,000/USD for the day.