Rupiah Movement Depends On US And Asian Market Sentiments

Rupiah (Photo: antara)

JAKARTA - President Commissioner of HFX International Futures Sutopo Widodo said that the projection of the Rupiah movement on Friday, October 31 really depends on closing the United States (US) market session as well as sentiment at the opening of the Asian market.

To note, citing Bloomberg, on Thursday, October 30, 2025, the rupiah spot exchange rate closed down 0.11 percent to the level of IDR 16,636 per US dollar.

Meanwhile, the Jakarta Interbank Spot Dollar Rate (Jisdor) exchange rate of Bank Indonesia (BI) closed down 0.05 percent to a price level of IDR 16,640 per US dollar.

"Given the long-term weakening trend of Rupiah by 5.75 percent in the last 12 months," he told VOI, Friday, October 31.

He added that the recent strengthening momentum of the US Dollar has the potential to continue and encourage the rupiah exchange rate to re-test the resistance level above Rp16,650.

However, Sutopo stated that a thin monthly strengthening of 0.14 percent indicated that the market was still in a fragile consolidation phase.

"If there is no surprise US economic data, volatility is expected to remain high, with the Rupiah struggling to stay below the psychological level of Rp. 16,700," he explained.

Furthermore, he stressed that the main sentiment that needs to be considered is the Fed's monetary policy and US economic data.

According to him, investors will pay close attention to the final results of the Federal Reserve (The Fed) meeting as well as the possible appearance of hawkish comments from its officials, which could further strengthen the US Dollar, especially if opportunities for future interest rates are still open.

In addition, he conveyed that the movement of yields (yield) of US government bonds, particularly tenors of 10 years, also needs to be watched out for, because the increase in yields can increase the attractiveness of the US Dollar and suppress the position of Rupiah.

Meanwhile, from the domestic side, Sutopo conveyed that Bank Indonesia (BI) intervention and communication, as well as the flow of foreign funds to the national bond market and shares, would be an important determining factor that could provide additional support or pressure on the Rupiah exchange rate.