Rupiah Closes 22 Points Lower as Investors Wait for Fed's Meeting Results

Tuesday, 15-June-2021 19:09

illustration: Indonesian Rupiah and United States (US) Dollar bills
Image : Special
illustration: Indonesian Rupiah and United States (US) Dollar bills

JAKARTA, NETRALNEWS.COM - Rupiah exchange rate against the US dollar at the interbank level in Jakarta is closed on a downtrend on Tuesday afternoon, ahead of the start of the Fed's meeting on Tuesday night.

The rupiah was closed 22 points down or 0.16 percent to the position of IDR14,225 per US dollar, as compared to IDR14,203 per dollar at the previous trade closing.

"Investors are waiting for the Fed's policy decision for further guidance on inflation and the central bank's monetary policy in the future," said Director of PT TRFX Garuda Berjangka Ibrahim Assuaibi in Jakarta, on Tuesday (06/15/2021).

The US central bank begins its meeting later this evening against a backdrop of sharp rising inflation as the country's economy makes a solid recovery.

Fed Chair Jerome Powell and colleagues insist that inflationary pressures will be temporary, and that very easy monetary arrangements will remain in place for some time to come.

However, the markets are wary of any swings with potential discussion of a reduction in bond purchases.

The dollar index, which measures the strength of the dollar against other major currencies, is currently still at the level of the 90s, or precisely at the position of 90.522.

In addition, the 10-year US bond yield is currently at the level of 1.485 percent, down from the previous closing position of 1.501 percent.

Meanwhile, rupiah was opened lower in the morning to IDR14,208 per US dollar. Throughout the day, the Indonesian currency moved in the range of IDR14,208 per US dollar to IDR14,248 per US dollar.

Moreover, as reported by Antara, Bank Indonesia's Jakarta Interbank Spot Dollar Rate (JISDOR) exchange rate on Monday weakened to IDR14,244 compared to the previous day's position of IDR14,222 per US dollar.

Reporter : turkhan
Editor : turkhan