The rupiah exchange rate has the potential to strengthen against the US dollar on Thursday (12/8) after data from the US inflation indicator, namely the Consumer Price Index last night, showed an increase in inflation not as high as initially expected.

Money Market Observer Ariston Tjendra said the data results temporarily removed the issue of tapering or monetary tightening so that the US dollar weakened against other exchange rates.

"Potential for strengthening to the area of 14,350 per US dollar, with potential resistance in the range of 14,400 per US dollar," he said in Jakarta.

Nevertheless, the inflation rate in the US is still high at around 5%, above the Fed's target of about 2%.

The tapering issue has the opportunity to return if US economic data continues to show improvement during the pandemic.

On the other hand, market concerns about the pandemic still have the chance to hold back the strengthening of risk a