IDR over USD. (Image via Kompasiana)

IDR weakens to Rp14,150/USD

On Tuesday's foreign exchange (forex) spot market opening, Indonesian Rupiah is seen at Rp14,150 against the U.S Dollar (USD), The rate went down by 0.01% compared to Monday's closing rate at Rp14,149/USD.

This morning, the Asian currencies showed different reactions toward USD. Reportedly, the Japanese Yen (JPY) went down by 0.05%, New Taiwan Dollar (TWD) by 0.09%, and S. Korean Won (KRW) by 0.11%. On the contrary, some currencies managed to show their might against the USD. The Singaporean Dollar (SGD) strengthened by 0.09%, Philippines Peso (PHP) by 0.01%, Indian Rupee (INR) by 0.07%, Chinese Yuan (RMB) by 0.13%, Malaysian Ringgit (MYR) by 0.01%, and Thai Baht (THB) by 0.01%.

On the other side of the world, the majority of currencies of the developed countries strengthened against the USD. Reportedly, Great Britain Pound sterling (GBP) strengthened by 0.03%, Australian Dollar (AUD) by 0.22%, the Canadian Dollar (CAD) by 0.12%, and Swiss Franc (CHF) by 0.07%.

Indonesian forex analyst and head of research at Monex Investindo, Ariston Tjendra, stated that while weakening, IDR has the chance to strengthen once more. IDR's upcoming strengthening is supported by the promising development of the novel coronavirus disease (COVID-19) vaccine trial by Astrazeneca, cooperating with Oxford University. Reportedly, the British-flagged pharma, together with Oxford, stated that the efficacy rate reached 70%. Therefore, the positive sentiment will contribute to the risk asset value in Asia as well.

From politics, the 45th US President, Donald Trump, finally agreed to the government transition to the president-elect, Joe Biden. Ariston stated that the market also welcomed the appointment of the former Governor of the Federal Reserve, Janet Yellen, as the new Secretary of Treasury under Biden's administration.

Ariston projected that the IDR will move around Rp14,100 - Rp14,200/USD for today.

Source: https://bit.ly/33czYkz