ID :
74085
Thu, 08/06/2009 - 22:13
Auther :
Shortlink :
https://www.oananews.org//node/74085
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RUPIAH WEAKENS ON PROFIT-TAKING MOVES THURSDAY AFTERNOON
Jakarta, Aug. 6 (ANTARA) - The rupiah weakened against the US dollar in the Jakarta interbank spot market on Thursday afternoon on profit taking moves.
The Indonesian currency traded at Rp9,895/Rp9,905 per US dollar, down 25 points from the figure at the market's close a day earlier.
Investors have been releasing the local currency and buying the greenback over the past two days because companies need US dollars to pay their maturing debts, Suriyanto Chang, division head of PT Bank OCBC-NISP, said here on Thursday.
Foreign investors were currently consolidating after selling the greenback in large amounts.
They were taking a wait-and-see stance to see how the market situation would develop further, he said.
However, he was optimistic that the rupiah could reach the level of Rp9,500 to Rp9,600 per US dollar as foreign investors were still active in the market.
They were optimistic the Indonesian economy would grow further as the global economic growth was improving, he said.
Indonesia was a potential market which was expected to give better profit than those in other Asian markets, he said.
Therefore, they were still interested in playing in the domestic market, although they were still worried about the government's assumption on the rupiah's exchange rate at Rp10,000 per US dollar, he said.
However the standard of the rupiah's exchange could be revised if it was not in accordance with the market's condition, he said.
"We are optimistic that the rupiah will stay at the level of below Rp10,000 per US dollar, if the positive factors in the domestic market lingered on," he said.
The Bank Indonesia (BI) Board of Governors (RDG) in a meeting here on Wednesday (Aug. 5) decided to cut the BI Rate by 25 basis points to 6.50 percent.
The decision was taken after the RDG concluded that the trend of the inflation decrease still continued in accordance with limited domestic demand and the continued decrease in the inflation expectation, according to a conclusion of the RDG meeting.***
The Indonesian currency traded at Rp9,895/Rp9,905 per US dollar, down 25 points from the figure at the market's close a day earlier.
Investors have been releasing the local currency and buying the greenback over the past two days because companies need US dollars to pay their maturing debts, Suriyanto Chang, division head of PT Bank OCBC-NISP, said here on Thursday.
Foreign investors were currently consolidating after selling the greenback in large amounts.
They were taking a wait-and-see stance to see how the market situation would develop further, he said.
However, he was optimistic that the rupiah could reach the level of Rp9,500 to Rp9,600 per US dollar as foreign investors were still active in the market.
They were optimistic the Indonesian economy would grow further as the global economic growth was improving, he said.
Indonesia was a potential market which was expected to give better profit than those in other Asian markets, he said.
Therefore, they were still interested in playing in the domestic market, although they were still worried about the government's assumption on the rupiah's exchange rate at Rp10,000 per US dollar, he said.
However the standard of the rupiah's exchange could be revised if it was not in accordance with the market's condition, he said.
"We are optimistic that the rupiah will stay at the level of below Rp10,000 per US dollar, if the positive factors in the domestic market lingered on," he said.
The Bank Indonesia (BI) Board of Governors (RDG) in a meeting here on Wednesday (Aug. 5) decided to cut the BI Rate by 25 basis points to 6.50 percent.
The decision was taken after the RDG concluded that the trend of the inflation decrease still continued in accordance with limited domestic demand and the continued decrease in the inflation expectation, according to a conclusion of the RDG meeting.***
