Low Rupiah On Thursday Morning

JAKARTA - The rupiah exchange rate was opened to weaken on trading Thursday, November 19. The rupiah opened lower by 0.07 percent to a level of Rp14,080 per US dollar (US).

Head of Research at Monex Invetindo Futures, Ariston Tjendra, said that this morning, the US dollar was seen strengthening against the exchange rate of emerging markets.

"The financial market is filled with concerns about rising positive cases of COVID-19, which has caused lockdowns in several countries and could trigger new lockdowns. This lockdown will disrupt economic recovery," Ariston told VOI.

This sentiment, according to him, closes the positive news from the final results of the Pfizer vaccine test last night. Even though the vaccine results are positive, the market thinks the vaccine still needs time to be distributed.

"The rupiah could also weaken against the US dollar today," he said.

Meanwhile, domestic sentiment, BI's benchmark interest rate decision could affect the movement of the rupiah. Fixed reference interest rates can keep the rate of return on rupiah assets attractive to investors due to the large spreads compared to developed countries.

"And this can prevent the weakening of the rupiah today. The potential range of the rupiah today is IDR 14,000-14,150 per US dollar," he explained.