Rupiah Regains More Value

Jakarta, Aug 19 (Antara) - The Indonesian currency rupiah regained some of its lost value against the US dollar closing stronger on Tuesday afternoon. The currency traded at the level of 11,663 per US dollar gaining slightly from earlier level of 11,686 per dollar. "Easing political risk globally gave positive sentiment and strength to rupiah against the US dollar," Monex Investindo Futures` analyst Zulfirman Basir said. He said the government Russia and Ukraine had met to discuss conflicts over separatists in Ukraine, encouraging world investors to do business in developing countries including in Indonesia. In addition, Israel and Palestine agreed to extend cease fire to seek a solution to end the Gaza conflict, he said. He warned however, that the rupiah strengthening was limited as the market players are still awaiting publication of US inflation and the result of the meeting of Federal Open Market Committee (FOMC) this week. "US inflation data could give further indication of US monetary policy outlook," he said. In addition, political sentiments in the country is yet to be determined by the decision of the Constitutional Court on the presidential election conflict to be announced on Thursday. "The market players are still awaiting the announcement before they invest," he said.