Samuel Sekuritas economist Rangga Cipta said on Wednesday that the US dollar receives pressure from its economic data, which fell below market expectation. The market also estimated that the Federal Reserve will not announce an interest rates hike during the Federal Open Market Committee meeting scheduled this week.

Speculations that The Fed will not raise interest rates is putting the dollar under pressure, he said.

The greenbacks depreciation allows the rupiah to push up amid prospects of rising inflation and uncertainties on whether Standard & Poors (S&P) will upgrade Indonesias credit rating.

Meanwhile, Binaartha Sekuritas analyst Reza Priyambada said the rupiah manages to appreciate over expectations that Indonesias economy has improved.

Source : Tempo.co

May 06, 2017