It was a setback in the process of US economic recovery."Jakarta (ANTARA News) - The Indonesian currency rupiah gained over the US dollar in the last session on Monday trading at the level of 13,410 per dollar from 14,440 earlier.
"Rupiah regain some of its value against the dollar on intervention by Bank Indonesia at the foreign exchange market," financial market observer from Bank Himpunan Saudara, Rully Nova, said.
Intervention by Bank Indonesia was made in anticipation of the countrys economic data to be released early next month.
The fact that domestic consumption is relatively low is one of the factors prompting the intervention by Bank Indonesia.
"The intervention is certainly would cutback in the countrys foreign exchange reserve, but the country still had US$108 billion in reserve by June. It is still safe," he said.
Chief researcher of Monex Investindo Futures Ariston Tjendra said the US dollar was under pressure following a decline in sales of new houses in the United States.
"It was a setback in the process of US economic recovery," Ariston said.
On the contrary business sentiment in Germany is recovering strengthening euro, he said, adding Greece has succeeded in opening new opportunity to get more fund contributing to positive sentiment in Europe.
"Sentiment in Europe is recovering and the condition is enough to strengthen rupiah though not very significant," he said.
(Uu.H-ASG/B003)
Editor: Priyambodo RH
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