Sunday, 16 June 2019 | 12:33 WIB

Rupiah Edges Down 11 Points on Monday Morning

Illustration of Rupiah

JAKARTA, NNC - The movement of the rupiah exchange rate traded between banks in Jakarta on Monday morning, Dec 17, eased down 11 points to IDR14,618 compared to the previous IDR14,607 per US dollar.

"The US dollar strengthened against most world currencies, including the rupiah," Samuel Sekuritas economist Ahmad Mikail said in Jakarta on Monday, Dec 17.

Samuel says the US dollar became a safe-haven asset as market concerns intensified over the outlook for the global economy next year, after the release of several US-China slowdown economic data.

China's Industrial Production Index data only grew 5.4 percent in November which was the lowest since 2003, he said.

While data from the US regarding retail sales experienced a 4.2 percent (year on year) slowdown in November.

Samuel said that ahead of the release of Indonesia's trade balance data, the rupiah is expected to still be burdened with sentiment from the November trade balance data deficit.

"Its projected that the movement of the rupiah will move in the range of IDR14,590 - IDR 14,650 per US dollar," he said, citing Antara.

Head of Monex Investindo Futures Research, Ariston Tjendra, says the slowing of global economic growth reduced demand for currency assets in Asian countries.

"The weakening of the world economy has made market players tend to avoid risky assets and towards safer assets such as the US dollar," Samuel said.