ID :
11218
Tue, 07/01/2008 - 12:43
Auther :
Shortlink :
http://m.oananews.org//node/11218
The shortlink copeid
RUPIAH STRENGTHENS TO RP9,212 AGAINST US DOLLAR ON TUESDAY MORNING
Jakarta, July 1 (ANTARA) - Rupiah on the Jakarta inter-bank spot market on Tuesday morning strengthened to Rp9,212 against US dollar as the US greenback weakened to Asia's main currencies especially Japanese yen.
"The rise in the rupiah rate shows a positive sentiment on the market as US dollar is entering the domestic market after the government offers state bonds in dollar," capital market observer Edwin Sinaga said here Tuesday.
He said rupiah received external supports due to the improving Wall Streets stock exchange positively affecting the regional stock exchange including Japan's Nikkei index which rose 0.3 percent to 13.526.63 or increased by 45.15 points.
"We are expecting that rupiah will penetrate the level of Rp9,200 to US dollar this afternoon," the observer said.
The sales of state bonds abroad won positive responses from foreign investors so that the needs of US dollars at home could be met although market players worried about the inflation rate which would be higher in June than that in May, he said.
According to Edwin Sinaga, rupiah would in the near future approach the level of Rp9,100 to US dollar but it was still difficult for the local unit to reach the figure of Rp9,000 against the US currency.
Rupiah is now considered in a safe position as Bank Indonesia (the central bank) has bigger amount of foreign exchanges in anticipation of possible pressure against the local unit, he said.
The increase in the rupiah rate was due to the weakening US dollar as financial crisis in the US continued, he said, adding that the US was also facing the increasing inflation rate which had created worries that the US economy would continue to weaken.
"The rise in the rupiah rate shows a positive sentiment on the market as US dollar is entering the domestic market after the government offers state bonds in dollar," capital market observer Edwin Sinaga said here Tuesday.
He said rupiah received external supports due to the improving Wall Streets stock exchange positively affecting the regional stock exchange including Japan's Nikkei index which rose 0.3 percent to 13.526.63 or increased by 45.15 points.
"We are expecting that rupiah will penetrate the level of Rp9,200 to US dollar this afternoon," the observer said.
The sales of state bonds abroad won positive responses from foreign investors so that the needs of US dollars at home could be met although market players worried about the inflation rate which would be higher in June than that in May, he said.
According to Edwin Sinaga, rupiah would in the near future approach the level of Rp9,100 to US dollar but it was still difficult for the local unit to reach the figure of Rp9,000 against the US currency.
Rupiah is now considered in a safe position as Bank Indonesia (the central bank) has bigger amount of foreign exchanges in anticipation of possible pressure against the local unit, he said.
The increase in the rupiah rate was due to the weakening US dollar as financial crisis in the US continued, he said, adding that the US was also facing the increasing inflation rate which had created worries that the US economy would continue to weaken.
