Rupiah Potentially Strengthening Driven By External Sentiment
JAKARTA - Financial Market Observer and Commodity Ariston Tjendra said that the movement of the rupiah has the potential to strengthen against the United States (US) dollar on Monday, December 23, driven by external sentiment.
"This morning the US dollar index moved under Friday morning's movement, 107.80 vs 108.40," he told VOI, Monday, December 23.
Ariston said the decline in the US dollar index occurred after the release of data on the US inflation indicator released on Friday night, namely the Core PCE Price MoM index in November 2024 which was recorded at 0.1 percent, lower than the previous month's increase which reached 0.3 percent.
According to Ariston, the US dollar reaction to the US inflation data could have an impact on strengthening the rupiah today.
But on the other hand, Ariston made negative comments on the policy of increasing VAT which has the potential to reduce people's purchasing power to become negative sentiment for today's rupiah movement.
Therefore, Ariston estimates that the movement of the rupiah on Monday, December 23 has the potential to strengthen against the US dollar towards Rp. 16,100 per US dollar with a potential resistance in the range of Rp. 16,200 per US dollar.
Quoting Bloomberg, the Rupiah exchange rate on Friday, December 20, 2024, the rupiah exchange rate in the spot market closed higher by 0.56 percent at the level of Rp. 16,222 per US dollar. Meanwhile, the Jakarta Interbank Spot Dollar Rate (Jisdor) exchange rate of Bank Indonesia (BI) closed up 0.04 percent to a price level of Rp. 16,270 per US dollar.