ID :
35030
Thu, 12/11/2008 - 13:26
Auther :
Shortlink :
https://www.oananews.org//node/35030
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RUPIAH TUMBLES AGAINST US DOLLAR ON THURSDAY MORNING
Jakarta, Dec. 11 (ANTARA) - The rupiah tumbled against the US dollar in the Jakarta interbank spot market on Thursday morning after continuous gains during the preceding few days.
The rupiah was traded at Rp10,975/11,100, down 100 points from Rp10,875/11,000 in the market closing a day earlier.
"The rupiah's depreciation happened because the Indonesian currency is looking for a new balance at between Rp10,500 and Rp11,000 per US dollar," president director of PT Financorpindo Nusa, Edwin Sinaga, said here on Thursday.
The rupiah was searching for a new form and was still unstable, despite positive news that Indonesia would get a new loan from the World Bank, he said.
However, the positive sentiment failed to help boost the rupiah, which was even depreciated because market players again bought US dollars which had nosedived against the rupiah at that time, he said.
The rupiah, which had previously plunged to Rp12,300 per US dollar last week, gained 780 points to below Rp11,000 per US dollar in the Jakarta interbank spot-market last Tuesday (Dec. 9) on reports the US government was planning to bail out troubled US companies.
However, Edwin Sinaga predicted that the rupiah would be again under pressure as demand for the greenback was high in the runup to the year-end season.
Besides, importers also needed the US dollars for their businesses, he said.
He said the local currency managed to stay at the level of below Rp11,000 per US dollar, because Bank Indonesia (BI) was still active in monitoring the rupiah movement.
"We will enter the market if the rupiah needs BI's intervention to strengthen the local currency," he said.
The central bank also closely watched the activities of foreign banks in the country in order to prevent any US dollar speculative trading, he said.
The rupiah was traded at Rp10,975/11,100, down 100 points from Rp10,875/11,000 in the market closing a day earlier.
"The rupiah's depreciation happened because the Indonesian currency is looking for a new balance at between Rp10,500 and Rp11,000 per US dollar," president director of PT Financorpindo Nusa, Edwin Sinaga, said here on Thursday.
The rupiah was searching for a new form and was still unstable, despite positive news that Indonesia would get a new loan from the World Bank, he said.
However, the positive sentiment failed to help boost the rupiah, which was even depreciated because market players again bought US dollars which had nosedived against the rupiah at that time, he said.
The rupiah, which had previously plunged to Rp12,300 per US dollar last week, gained 780 points to below Rp11,000 per US dollar in the Jakarta interbank spot-market last Tuesday (Dec. 9) on reports the US government was planning to bail out troubled US companies.
However, Edwin Sinaga predicted that the rupiah would be again under pressure as demand for the greenback was high in the runup to the year-end season.
Besides, importers also needed the US dollars for their businesses, he said.
He said the local currency managed to stay at the level of below Rp11,000 per US dollar, because Bank Indonesia (BI) was still active in monitoring the rupiah movement.
"We will enter the market if the rupiah needs BI's intervention to strengthen the local currency," he said.
The central bank also closely watched the activities of foreign banks in the country in order to prevent any US dollar speculative trading, he said.
