"The Fed`s move gave more positive sentiment."Jakarta (ANTARA News) - The Indonesian currency rupiah gained on the US dollar on Thursday morning opening trade while the market players were awaiting an announcement by Bank Indonesia about its benchmark interest rate (BI Rate).
The Central Bank Board of Governors was meeting this morning with the BI Rate one of the main agenda.
Rupiah traded 30 points stronger at the level of 9,688 per US dollar in inter-bank transaction from 9,718 earlier.
Meanwhile, the US Central Bank, The Fed, also indicated it would continue liquidity injection in its policy of third quantitative easing, market observer Ruly Nova of Bank Himpunan Saudara said.
"The Fed`s move gave more positive sentiment," Ruly said here on Thursday.
He said intervention by Bank Indonesia also contributed to the rupiah rise in value.
Trust Securities` analyst Reza Priyambada said rupiah extended gain on the monetary policy adopted by the US Central Bank which contributes to global economic recovery.
The market players also believed that the decline in the Chinese inflation would lead to relaxation of monetary policy by the world`s second largest economy giving additional positive boost the Asian currencies including rupiah, Ruly said.
(Uu.H-ASG/O001)
Editor: Priyambodo RH
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