On Wednesday, Rupiah Strengthens, Awaiting Debate For President Trump Vs Biden

Illustrated. (Irfan Meidianto / VOI)

JAKARTA - The rupiah exchange rate on the spot market opened higher on trading Wednesday, September 30. The rupiah opened up 37 points to a level of Rp14,858 per US dollar (US).

Monex Investindo Futures Head Researcher, Ariston Tjendra said, China's manufacturing activity index data for September which was just released was better than projected, giving positive sentiment to risk assets this morning, including the rupiah.

"The US dollar also looks weak this morning against other exchange rates and this could increase the potential for rupiah strengthening against the US dollar," Ariston told VOI.

Meanwhile, the US presidential debate is still ongoing. Market participants are also looking forward to this debate.

"In my opinion, if there is a potential change in leadership in the US, the market will respond positively and risky assets including the rupiah can strengthen," he explained.

According to him, the rupiah has the potential to strengthen today in the range of Rp14,750-14,950 per US dollar.

Director of TRFX Garuda Berjangka Ibrahim said that the rupiah today is likely to fluctuate but the possibility of closing is limited by 10-30 points at the level of Rp14,870-14,950 per US dollar.

Ibrahim said that a number of sentiments that would characterize the movement of the rupiah included the development of the US economic recovery stimulus.

The focus of market players will also be on the results of the inaugural Joe Biden versus Donald Trump debate ahead of the upcoming November 2020 survey.

From within the country, purchasing power is estimated to decline sharply in line with the implementation of large-scale social restrictions.

The weakening consumption threatens the prospects for economic growth, so that various government efforts to maintain consumption levels will be the focus of market players.