Rupiah falls again to above Rp14,000 per dollar

Rupiah falls again to above Rp14,000 per dollar


Jakarta (ANTARA) - The Indonesian rupiah fell again to above Rp14,000 per US dollar in the Jakarta inter-bank market at the weekend. The rupiah dropped 32 points, or 0.23 percent, to close at Rp14,009 per dollar compared to Rp13,977 earlier.

PT Garuda Berjangka President Director Ibrahim Assuaibi said here Friday that the Fed (the Federal Reserve System/the US central bank) is predicted to slash its benchmark interest rate by 25 basis points instead of 50 basis points during the policy meeting to end on July 31, 2019 although it still has ample room to cut it thrice this year.

"However, many see the step may not be taken as frequently as expected before. This is not the beginning of the main leeway cycle," he said.

On Thursday, July 25, 2019, the US saw a surge in orders for its capital goods. The data will undoubtedly provide a positive impact on the US central bank to immediately issue an official statement about the benchmark interest rate to maintain its economic growth.

The market awaited the US to release its economic growth data Friday. The US economy is expected to slow down to 1.8 percent in the second quarter from 3.1 percent in the previous quarter.

The rupiah traded at Rp14,000 per dollar in the morning.