Monday Morning, Rupiah Strengthens 'Not Lasting Long', Towards IDR 15,000?

JAKARTA - The rupiah exchange rate on the spot market opened stronger on Monday, September 14 trading. The rupiah opened up 35 points to a level of Rp14,855 per United States dollar (US).

Even though it was opened higher, the rupiah weakened in fact 20 minutes after opening trading. Based on VOI monitoring at 09:20, the rupiah weakened 35 points to a level of Rp14,925 per US dollar.

Head of Research at Monex Investindo Futures, Aristoin Tjendra, said that this morning, positive sentiment was seen overshadowing the movement of risk assets with Asian stock indexes moving higher and emerging market exchange rates also moving higher against the US dollar.

"The positive sentiment came from the resumption of testing for the Astrazeneca vaccine, which was halted. The strengthening of the US stock index futures, Dow Fut, because the news of the Nvidia acquisition also provided positive sentiment to the market," Ariston told VOI.

This positive sentiment, he said, overrides the US-China conflict which has been heating up recently. The rupiah may strengthen against the US dollar following this sentiment.

"The news that PSBB Jakarta is not a total PSBB may be a little relief for market players. The potential for the rupiah today is in the range of IDR 14,750-14,950 per US dollar," he said.