ID :
20173
Fri, 09/19/2008 - 14:31
Auther :
Shortlink :
http://m.oananews.org//node/20173
The shortlink copeid
RUPIAH STRENGTHENS TO RP9,375/9,390 PER DOLLAR FRIDAY MORNING
Jakarta, Sept 19 (ANTARA) - The rupiah strengthened to Rp9,385/9,390 against the US dollar in the Jakarta interbank spot market on Friday morning after investors bought the local unit on signals Bank Indonesia (BI) will extend repurchase agreement (repo) facilities.
The central bank has hinted it will extend three-month repo facilities to make them more attractive to curb tight market liquidity.
Foreign exchange analyst Rully Nova of PT Bank Himpunan Saudara Tbk said market liquidity pressure had gradually faded following the central bank's plan to extend the repo facilities.
"We are optimistic local investors will still eye the rupiah until this evening so that it will leave the level of Rp9,400 per dollar far behind," he said.
It was still rather difficult for the rupiah to further appreciate as investors were focusing their attention on the US greenback's strengthening in the global market despite worries about the US economic growth, he said.
The Indonesian currency tumbled to nearly Rp9,500 per dollar in recent weeks due in part to a financial crisis in the US and Europe prompting foreign investors to buy up the dollar, he said.
The dollar is strengthening amidst investors' worries about continued financial turmoil in the US.
The euro fell to 1.4348 from 1.4323 against the dollar. The US greenback also appreciated agaiunst the yen to 105.37 from 104.56 previously.
The central bank has hinted it will extend three-month repo facilities to make them more attractive to curb tight market liquidity.
Foreign exchange analyst Rully Nova of PT Bank Himpunan Saudara Tbk said market liquidity pressure had gradually faded following the central bank's plan to extend the repo facilities.
"We are optimistic local investors will still eye the rupiah until this evening so that it will leave the level of Rp9,400 per dollar far behind," he said.
It was still rather difficult for the rupiah to further appreciate as investors were focusing their attention on the US greenback's strengthening in the global market despite worries about the US economic growth, he said.
The Indonesian currency tumbled to nearly Rp9,500 per dollar in recent weeks due in part to a financial crisis in the US and Europe prompting foreign investors to buy up the dollar, he said.
The dollar is strengthening amidst investors' worries about continued financial turmoil in the US.
The euro fell to 1.4348 from 1.4323 against the dollar. The US greenback also appreciated agaiunst the yen to 105.37 from 104.56 previously.
