Rupiah Seen Strengthening on Weak Dollar


The rupiah exchange rate (exchange rate) on Tuesday's trading (18/5) has the opportunity to strengthen in line with the pressure on the US dollar against the major world and regional currencies since last night.

"The rupiah has the potential to strengthen to the range of 14,230 per US dollar with potential resistance at 14,300 per US dollar," said money market observer Ariston Tjendra in Jakarta.

According to Ariston, the market seems to have returned to anticipating expectations the US Central Bank will maintain its monetary easing policy for now because US economic data is still below market expectations, such as employment data and retail sales.

Meanwhile, the increase in inflation in the US is considered only temporary due to the economic recovery.

On the other hand, the 10-year tenor US bond yield that is still rising could prevent the strengthening of the exchange rate against the US dollar. Yield still holds above 1.6%.


Penulis : Widya