Pushed by the conflict in the Middle East, IDR is still below Rp14,000. (Image via Market Bisnis)

U.S vs. Iran, IDR rises to Rp13,860/USD

On Thursday’s foreign exchange (forex) spot market opening, Indonesian Rupiah (IDR) is seen at Rp13,860 against the U.S Dollar (USD). The rate strengthened by 0.29 percent compared to Wednesday’s closing rate at Rp13,900/USD. For today, IDR is moving around Rp13.800 - Rp13.950/USD.

Today, the majority of currencies in Asia – ASEAN regions continued their strengthening trend. Reportedly, S. Korean Won (KRW) strengthened by 0.85 percent, Malaysian Ringgit (MYR) by 0.25 percent, Singaporean Dollar (SGD) by 0.07 percent, and Thai Baht (THB) by 0.12 percent against the USD.

However, some currencies weakened against the USD. Japanese Yen (JPY) weakened by 0.10 percent, Turkish Lira (TRY) by 0.05 percent, and the Hong Kong Dollar (HKD) by 0.03 percent against the USD.

Meanwhile, the majority of currencies in the developed country regions also strengthened against the USD. Great Britain Pound sterling (GBP) strengthened by 0.10 percent, Australian Dollar (AUD) by 0.11 percent, Canadian Dollar (CAD) by 0.04 percent, and European Union Euro (EUR) by 0.07 percent against the USD.

Indonesian forex experts, however, warned that the strengthening might not last long since the conflict between the U.S and Iran remaining tense is rattling the global market.

Previously, Iran rained the U.S military base in Iraq with projectiles. The President of the U.S, Donald Trump referred to the attack as something ”futile”. Moreover, Trump hinted that another round of economic sanctions will be imposed on Tehran. Regarding what sanction, the U.S is considering it.

The global market worries that the “missile fight” might lead to a war in the Middle East which will affect the global economy.

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