ID :
17254
Thu, 08/28/2008 - 11:20
Auther :
Shortlink :
http://m.oananews.org//node/17254
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RUPIAH MOVES CLOSER TO RP9,150 PER DOLLAR LATE WEDNESDAY
Jakarta, Aug 27 (ANTARA) - The rupiah edged closer to Rp9,150 per dollar in the Jakarta interbank spot market late Wednesday after it tumbled last week due to a fall in global crude prices on low demand.
"The rise in global crude prices to more than US$117 from US$114 a barrel prompted investors to buy rupiahs," Rully Nova, a foreign exchange analyst of PT Bank Himpunan Saudara Tbk, said on Wednesday.
Crude prices in Asian markets rose over concern that Hurricane Gustav would hit the Bay of Mexico where vital US energy installations are located, he said.
The crude price hike was also sparked by heightened tensions between Russia and the West after Moscow recognized the independence proclamation of two separatist regions in Georgia, Abkhazia and South Ossetia, he said.
The conditions would cause the rupiah to strengthen in the days ahead and put the dollar under pressure after it strengthened sharply against other major currencies for the past few weeks, he said.
He said it was time for investors to buy the rupiah and release the dollar which fell to nearly Rp9,200 per dollar.
The rupiah's strengthening was also attributed to Bank Indonesia (the central bank/BI)'s intervention in the money market after the local unit weakened in the past few days, he said.
BI feared the rupiah would fall to Rp9,200 per dollar if the negative pressure remained unheeded, he said.
"We are optimistic that BI's intervention in the money market will cause the rupiah to edge closer to Rp9,150 per dollar," he said.
"The rise in global crude prices to more than US$117 from US$114 a barrel prompted investors to buy rupiahs," Rully Nova, a foreign exchange analyst of PT Bank Himpunan Saudara Tbk, said on Wednesday.
Crude prices in Asian markets rose over concern that Hurricane Gustav would hit the Bay of Mexico where vital US energy installations are located, he said.
The crude price hike was also sparked by heightened tensions between Russia and the West after Moscow recognized the independence proclamation of two separatist regions in Georgia, Abkhazia and South Ossetia, he said.
The conditions would cause the rupiah to strengthen in the days ahead and put the dollar under pressure after it strengthened sharply against other major currencies for the past few weeks, he said.
He said it was time for investors to buy the rupiah and release the dollar which fell to nearly Rp9,200 per dollar.
The rupiah's strengthening was also attributed to Bank Indonesia (the central bank/BI)'s intervention in the money market after the local unit weakened in the past few days, he said.
BI feared the rupiah would fall to Rp9,200 per dollar if the negative pressure remained unheeded, he said.
"We are optimistic that BI's intervention in the money market will cause the rupiah to edge closer to Rp9,150 per dollar," he said.
