RUPIAH WEAKENS 10 POINTS AGAINST US DOLLAR

Jakarta, Jan. 12 (ANTARA) - The rupiah weakened 10 points against the US dollar in the Jakarta interbank spot market here on Tuesday morning as investors released the local unit.

The rupiah traded Rp9,160-Rp9,170 per US dollar, down 10 points from Rp9,150-Rp9,160 at the market's close a day earlier.

Rully Nova, a foreign exchange analyst of PT Bank Himpunan Saudara Tbk., said market pressure on the Indonesian currency was relatively small as investors were cautious in releasing the rupiah further.

Bank Indonesia also intervened into the market to halt the further strengthening of the rupiah, he said.

If the rupiah reached the psychological level of Rp9,000, it could create panic. Therefore, BI must enter the market to stop the local unit from touching the level of Rp9,000, he said.

Meanwhile, Jakarta stocks traded lower at the Indonesian Stock Exchange (BEI) here on Tuesday morning as investors sold blue chip and small-cap shares after rallies over the past two weeks.

The Composite Stock Price Index (IHSG) fell 0.09 percent or 2.504 points to 2,629.785 and the LQ-45 index went down 0.608 point or 0.13 percent to 518.154.

Among top losers at the BEI were Astra Agro Lestari shares that went down Rp200 to Rp24,700, Indo Tambang Mega shares that fell Rp200 to Rp32,750, Bumi shares that declined Rp100 to Rp2,800, and Astra International shares that weakened Rp100 to Rp34,800.