Rupiah Weakens Against US Dollar

Jakarta, April 24(Antara) - The Indonesian currency rupiah lost 12 points against the US dollar in trade on Wednesday morning on negative global sentiment. Rupiah traded at the level 9,727 to the dollar down from 9,727 in inter-bank transaction . "The rupiah weakened amid negative external factor despite a rise in foreign direct investment in the first quarter of this year," Trust Securities` analyst Reza Priyambada said. Reza said FDI in Indonesia rose 27.2 percent to US$6.7 billion from the same period last year. He said upward trend of domestic exchange rate is still shadowed by negative global sentiment. Shrinking manufacture indexes of China and Germany were among the negative factors for money market in the country, he said. "The condition brought about pessimism among the market players about the recovery in the first semester of this year," he added. Negative sentiment also came from Europe with political instability in Italy , he said. However, US slowdown gave negative sentiment for the US dollar in favor of rupiah, he said.