The data from Trade Balance Indonesia hit IDR slightly, but strengthening will follow. Hopely. (Image via Market Bisnis)

TBI data beats IDR to Rp13,995/USD

On Monday’s foreign exchange (forex) spot market opening, Indonesian Rupiah (IDR) is seen weakening to Rp13,995 against the U.S Dollar (USD). The rate weakened by 0.01 percent compared to Friday’s closing rate at Rp13,990/USD. Today, IDR is moving around Rp13.900 - Rp14.030/USD.

Today, most currencies in Asia – ASEAN regions showed similar reactions as IDR against the USD. S. Korean Won (KRW) weakened by 0.23 percent, Malaysian Ringgit (MYR) by 0.18 percent, and Singaporean Dollar (SGD) by 0.09 percent.

Both Turkish Lira (TRY) and the Hong Kong Dollar (HKD) weakened against the USD by 0.07 percent and 0.03 percent respectively.

Only Thai Baht strengthened by 0.13 percent against the USD. Meanwhile, the Japanese Yen’s (JPY’s) rate remains stagnant against the USD.

In developed country regions, the majority of the currencies are showing their might against the USD. Great Britain Pound sterling (GBP) strengthened by 0.21 percent, European Union Euro (EUR) by 0.02 percent, and Australian Dollar (AUD) by 0.04 percent.

Unfortunately, only the Canadian Dollar (CAD) weakened by 0.08 percent against the USD.

Indonesian forex experts explained that the weakening of IDR is caused by the data released by Trade Balance Indonesia that showed a US$0.13 billion deficit. They regretted the data, saying that had the data been a surplus, it might hoist IDR’s rate even higher against the USD.

Assuring the forex players, the experts hinted that the weakening will be temporary since the positive sentiments in the trade war between the U.S and China might bring back fresh energy for the IDR. On Friday last week, a trade agreement had been done by the representatives for the U.S and China.

Reportedly, both countries are drafting the agreement.

Source: https://bit.ly/2rO5OEE