The Mighty Wednesday Morning Rupiah In Asia Pacific

Illustrated. (Irfan Meidianto / VOI)

JAKARTA - The rupiah exchange rate on the spot market opened stronger on Wednesday, August 12 trading. The rupiah opened up 40 points or 0.27 percent to a level of Rp. 14,640 per US dollar (US).

Head of Research at Monex Investindo Futures, Ariston Tjendra, said that even if it was opened to strengthen, the rupiah might still be under pressure today given the many negative sentiments on the money market.

The US dollar seems to have strengthened since last night due to indications of economic recovery in the US from the release of labor data and the producer price index for July which is better than projected.

"The strengthening of the US dollar could suppress the exchange rate movements of emerging markets, including the rupiah," Ariston told VOI.

In addition, he said, the news that the US stimulus talks had not progressed between the two ruling parties could also weaken sentiment towards risky assets this morning.

"The rupiah today has the potential to be under pressure with a potential range of Rp14,550-14,750 per US dollar.

This morning, until 09.15 WIB, the majority of currencies in the Asia Pacific region moved lower in front of the US dollar, led by the Malaysian ringgit which fell 0.20 percent.

Followed by the Chinese yuan and Japanese yen, which both weakened 0.14 percent. Then the Thai baht weakened 0.09 percent.

The Singapore dollar and the Philippine peso weakened 0.08 percent and 0.07 percent, respectively. Followed by the South Korean won which weakened 0.06 percent.

Meanwhile, the rupiah is the currency that has strengthened the most this morning. Followed by the Indian rupee and the Taiwan dollar, which strengthened 0.16 percent and 0.13 percent, respectively.