Rupiah Strengthens At The Beginning Of The Week Opens 58 Points To Rp14,465 Per US Dollar

Illustrated. (Irfan Meidianto / VOI)

JAKARTA - The rupiah exchange rate on the spot market opened stronger on Monday, July 6 trading. The rupiah opened up 0.40 percent or 58 points to a level of Rp14,465 per US dollar (US).

Head of Research at Monex Investindo Futures, Ariston Tjendra, said that this morning, risk assets were seen rising, such as Asian stock indices and US stock index futures.

"The 10-year tenor US government bond yields also seem to strengthen again, indicating that the market is releasing these safe assets and entering riskier assets such as the rupiah," Ariston told VOI.

According to him, the rupiah could be helped to strengthen following the strengthening of regional risk assets today with the potential to reach the area of around Rp14,450 and potential resistance in the range of Rp.14,570 per US dollar ..

"The market may start to respond positively to the improvement in positive economic data amid the pandemic released at the end of last week such as the US employment data for June which showed improvement beyond expectations. And the US-China-Europe service sector activity index data for June. which also showed improvement beyond expectations, "said Ariston.

But on the other hand, he continued, the market would still consider an increase in the rate of global COVID-19 transmission which risks reducing economic activity again, as reported by the WHO and the escalating US-China tensions.

Majority Strengthen

This morning, the majority of currencies in the Asia Pacific region experienced strengthening, led by the Indian rupee which appreciated 0.50 percent. Followed by the rupiah, then the Taiwan dollar which strengthened 0.23 percent.

Then the Philippine peso strengthened 0.21 percent, followed by the South Korean won which appreciated 0.17 percent.

The Chinese yuan and Malaysian ringgit and Singapore dollar both gained 0.13 percent. The Malaysian ringgit was able to strengthen 0.11 percent.

Meanwhile, currencies that weakened against the US dollar were the Japanese yen (0.22 percent) and the Thai baht (0.04 percent).