Rupiah plunges on Friday amid COVID-19 outbreak

Rupiah plunges on Friday amid COVID-19 outbreak

A foreign exchange worker showed bills of Indonesia's rupiah and U.S. dollar. (Illust./ANTARA/gtm)

Jakarta (ANTARA) - Indonesia's rupiah opened lower by nine points, or 0.06 percent, to Rp13,703 against the US dollar on Friday morning, while the day before, it was recorded at Rp13,694 against the dollar.

For the last few days, the rupiah has depreciated over increasing concerns arising from the coronavirus (COVID-19) outbreak that has resulted in infections in more than 25 countries outside mainland China.

"Following updates on the casualties from COVID-19, traders and investors are nervous that the outbreak will significantly impact the financial market," Monex Investindo Futures' head of research, Ariston Tjendra, stated in Jakarta.

Tjendra pointed out that many believe undetected coronavirus cases might possibly be present not only in China but also in other countries.

"It contributes to a drop in some high-risk assets and increases the price of the gold safe haven asset," Tjendra remarked.
All through the day, the rupiah is projected to hover in the range of Rp13,650 to Rp13,730 against the dollar.

In the meantime, according to Bank Indonesia's exchange rate, the rupiah dropped to Rp13,707 against the dollar this morning, while the day before, it was recorded at Rp13,679.

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