On Friday, Rupiah Was Opened To Slightly Weaken 5 Points To Rp14,400 Per US Dollar

Illustrated. (Irfan Meidianto / VOI)

JAKARTA - The rupiah exchange rate on the spot market was opened lower on Friday 10 July trading. The rupiah opened slightly lower by 5 points or 0.03 percent to the level of Rp14,400 per US dollar.

According to VOI, at 09:20, the rupiah continued to weaken, and was at the level of Rp. 14,418 per US dollar, down 0.16 percent.

Head of Research at Monex Investindo Futures, Ariston Tjendra, said that concerns over the increase in global transmission of COVID-19 cases have returned to negative sentiment that could suppress the movement of risky assets in Asia today, including the rupiah.

"Data on the transmission of COVID-19 in Indonesia itself continues to show an increase and is not yet sloping. This concern masks the potential for economic recovery in the midst of a pandemic," Ariston told VOI.

He added that the 10-year tenor US government bond yields were seen to be depressed again to around 0.615 percent, down about 7 percent from Wednesday's closing trading.

"This indicates that the market is again looking for safe assets as an alternative to investing by holding US dollar assets," he said.

Ariston estimates that the rupiah has the potential to weaken today towards the Rp14,550 area with potential support at the range of Rp14,400 per US dollar.

Majority Weakened

This morning, currencies in the Asian region moved lower against the US dollar, led by Malaysian rinngit which weakened 0.21 percent. Then, the Thai baht weakened 0.14 percent.

The Chinese Yuan depreciated 0.11 percent. The Philippine peso and Singapore dollar both fell 0.09 percent. The Taiwan dollar was also seen weakening 0.06 percent.

Meanwhile, currencies that strengthened against the US dollar were led by the Japanese yen which appreciated 0.14 percent. Followed by the Indian rupee, which edged up 0.03 percent.