On Wednesday, Rupiah Strengthens, But Potentially Pressured By Rejection Of The Job Creation Law

Illustration. (Irfan Meidianto / VOI)

JAKARTA - The rupiah exchange rate on the spot market opened higher on trading Wednesday, October 14th. The rupiah opened up 0.1 percent or 15 points to a level of Rp14,710 per US dollar.

Monex Investindo Futures Head Researcher Ariston Tjendra said the rupiah might be under pressure today due to the US stimulus factor which reached a deadlock after last night the Democrat Party rejected the government's stimulus proposal worth US $ 1.8 trillion, and insisted on its proposal worth US $ 2.2 trillion.

"Apart from that, the rejection of the Job Creation Law will also put pressure on the rupiah today," Ariston told VOI .

Indonesia's more negative growth projection than the IMF, said Ariston, could also put pressure on the rupiah.

"The rupiah has the potential to move in the range of Rp14,650-14,850 per US dollar today," he explained.

This morning, the majority of currencies in Asia were observed to have weakened against the US dollar. The South Korean won weakened 0.08 percent, the Philippine peso fell 0.29 percent, the Indian rupee weakened 0.10 percent, the Chinese yuan weakened 0.01 percent, the Malaysian ringgit weakened 0.13 percent and the Thai bath weakened 0.04 percent.

While the Japanese yen strengthened 0.10 percent, the Singapore dollar strengthened 0.02 percent and the Taiwan dollar strengthened 0.14 percent.