Rupiah lower as US dollar rebounds on rate hikes expectations

Jakarata (Antara News) - The rupiah was lower, pressured by some renewed dollar strength against other currencies, especially the yen, dealers said.

At 8:45 am, the rupiah was at 9,265/9,295 to the dollar compared to Friday's level of 9,190/9,200.

A foreign exchange dealer with a European bank, was quoted as saying by XFN-Asia the dollar's recent revival has been driven by prospects of further Fed interest rate hikes in the wake of stronger-than-expected US inflation data.

He noted that the greenback's gains have pressured the yen and this has
had a negative knock-on affect on the rupiah.

Another dealer with a local bank said the local unit has also been sold
down in the absence of any indications from the central bank that it is ready to intevene to support the currency at a certain level.

Bank Indonesia has said previously said it will closely monitor the level
of the rupiah and stands ready to intervene when necessary to smooth out
volatility. (*)

May 22 08:59
_________________________ Indonesian Business and Investment News Aggregator