Although the data may help the dollar the market continues to focus on the Fed`s testimonies."Jakarta (ANTARA News) - The Indonesian rupiah currency weakened 19 points to Rp11,666 against the US dollar in late Thursday trading from Rp11,647 the day before.
The rupiah fell slightly against the dollar as domestic market players took cautious stand ahead of the Federal Reserves testimonies before the Banking Committee of the US Senate, Monex Investindo Futures Research Chief Ariston Tjendra noted here on Thursday.
"The domestic market players cautious stand suggests that the market is anticipating the Feds decision," he said.
Moreover, he said the US dollars index currently tends to strengthen against the vast majority of global currencies over a report that the US will release data of durable goods orders in January 2013 and claims to weekly unemployment allowances in the US.
"Although the data may help the dollar the market continues to focus on the Feds testimonies," he said.
Despite worries in the money market, the rupiahs current exchange rate against the dollar is quite favorable, he said.
According to Bank Indonesias mid rate on Thursday, the rupiah weakened to Rp11,675 per dollar from Wednesdays closing level of Rp11,669 per dollar.
The local unit edged up 68 points to reach Rp11,662 against the dollar in late Monday trading, after the news of an evident weakness in the US housing market, Ariston said on Monda.
"The rupiah resumed higher against the dollar after the weakening US housing data raised worries about the US economy," he said.
The US housing data had a negative impact on the dollar, causing the currencies of developing countries, including the rupiah, to edge stronger, he added.
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Reporting by Zubi Mahrofi
(T.SYS/B/KR-BSR/A014) 27-02-2014 21:05:38
Editor: Priyambodo RH
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