Once Opened Stronger, Rupiah Slipped Again To The Level Of IDR 15,215 Per US Dollar

Illustration. (Photo: Bank Indonesia)

JAKARTA - The rupiah managed to strengthen at the opening on the spot market on Wednesday, March 18th. The rupiah opened up 0.58 percent or 88 points to a level of Rp 15,085 per US dollar.

However, at 09.04, the rupiah slipped again. During this hour, the rupiah weakened 0.28 percent or 43 points to a level of Rp15,215 per US dollar.

Head of Research at Monex Investindo Futures, Ariston Tjendra, said that some risk assets moved positively this morning, triggered by the announcement of a US government stimulus amounting to US $ 1 trillion last night.

"This might help prevent the rupiah from weakening today," Ariston told VOI.

He said the market was worried about the negative impact of the corona virus or COVID-19 on the economy, which would hinder the strengthening of these risky assets.

S&P Global announced the results of its research last night that the global economy will experience a recession in 2020 due to the impact of the corona virus and cut GDP growth projections for major countries such as China, the US and several European countries.

"The projection of 2020 global growth by S&P, which previously grew 3.3 percent in December 2019, the latest revision states that it only grows 1-1.5 percent. China is revised to only grow 2.7-3.2 percent from the previous + 5.7 percent. "The US was revised -0.5-0 percent from the previous +1.9 percent. The euro zone was revised -1-0.5 percent from the previous +1 percent," he explained.

He estimates that the rupiah today will move in the range of Rp. 15,000-15,270 per US dollar.