illustration (Source : Liputan6 News)

Rupiah Strengthens Influenced by Covid-19 Vaccine Progress

The exchange rate of the rupiah against the United States dollar (US) moves to strengthen in trade this Tuesday. Rupiah strengthened due to positive developments from the Covid-19 vaccine. Quoting Bloomberg, Tuesday (07/21/2020), the rupiah opened at 14,755 per US dollar, strengthening compared to the previous close of trading at 14,785 per US dollar.

From morning until 10:10 WIB, the rupiah moved in the range of 14,730 per US dollar to 14,774 per US dollar. If calculated from the beginning of the year, the rupiah weakened 6.55 percent. Whereas based on the Bank Indonesia (BI) Jakarta Interbank Spot Dollar Rate (Jisdor) Reference Rate, the rupiah is pegged at 14,813 per US dollar, strengthening compared to the previous benchmark at 14,813 per US dollar.

"Positive sentiment was seen re-entering the financial markets this morning after a report emerged on the progress of Covid-19 vaccine research in collaboration between European biopharmacy company Astrazeneca and the University of Oxford in England where the vaccine is capable of producing immunity and is safe in its testing period," said the Head of Research and Education Monex Investindo Futures Ariston Tjendra as quoted from Antara on Tuesday (07/21/2020).

The good news, continued Ariston, reduced market concerns about the continued increase in transmission of COVID-19 in the world that could hamper global economic recovery.

This morning, regional currencies are seen strengthening against the US dollar. Asian stock indexes also look positive.

On Monday (7/20), the rupiah closed down 82 points or 0.56 percent to Rp14,785 per US dollar from Rp14,703 per US dollar previously.

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