Bank Indonesia's intervention in the foreign currency and bond markets in the domestic non deliverable forward (DNDF) and positive domestic economic data did not immediately cause the rupiah to strengthen again, PT Garuda Berjangka Director Ibrahim Assuaib said Monday.
"The market again focused on the unfavorable external data so the rupiah fell sharply on Monday," he said.
Related news: Global sentiment drives up rupiah to ascend on Monday
US President Donald Trump denied a report on the weekend that Beijing and Washington agreed to return several tariffs of goods.
The denial triggered a new worry about when the two economic giants will put an end to 16 months of the trade war which has led to a global economic slowdown.
Negotiations between the two nations were running very well and many positive things have been achieved, Trump, however, added.
Related news: Rupiah strengthens following release of low inflation data
The rupiah also weakened to Rp14.030 against the dollar in the opening trade Monday morning. Throughout the day, it moved within the range of Rp14.030 and Rp14.072.
According to the Bank Indonesia mid rate Monday, the rupiah depreciated to Rp14.040 compared to Rp14.020 against the dollar earlier. (INE)