Illustration of Rupiah resistance against the US dollar

Not many people know that right at the end of 2018 at 11:08 WIB the value of the rupiah strengthened significantly 0.69% compared to the market closing position at the end of the previous week or more clearly the rupiah touched Rp. 14.455 / 1 USD. Major Asian currencies were also mostly able to strengthen against the US dollar. But the rupiah is special because the strengthening of 0.69% brings the currency of the country to the top of the Asian standings.

The following are developments in the US dollar against a number of major currencies in the Yellow Continent at 11:10 WIB:

the development of the US dollar against a number of major currencies in Asia

It turns out that not only the US dollar has become a victim of the rupiah’s might. Against the major currencies of Asia, the rupiah has been victorious. There is not a single major Asian currency that has strengthened in front of the rupiah, 100% sweep.

Also Read: Welcome 2019, This is the Priority Agenda of the Indonesian Government in the Year

Following are the developments of the Asian currency exchange rate against the rupiah at 11:13 WIB:

the development of the Asian currency exchange rate against the rupiah

News of the victory of the rupiah reached Europe. At 11:14 WIB, the rupiah strengthened 0.06% against the euro. Whereas in front of the pound, the rupiah appreciated up to 0.77%. Then against the Swiss franc (which is a safe haven), the rupiah strengthened 0.76%.

This news is a breath of fresh air for investors in 2019, a well-known US investment bank, Morgan Stanley, has raised the status of Indonesia’s stock market from underweight to overweight for 2019. That is, the Indonesian stock market is seen as promising so it is feasible to organize the future.

This was responded positively by Bank Indonesia, which projected that the rupiah exchange rate tends to strengthen against the US dollar (US) in 2019 compared to 2018. “2019 we still see that the rupiah will move more stable and tend to strengthen. We see that the rupiah is still undervalued, “said BI Governor Perry Warjiyo in his office, Central Jakarta, Wednesday (2/1/2019).

According to him, the global uncertainty that occurred in 2018 will indeed continue this year. That would be enough to affect the exchange rate, but uncertainty is believed to be lower.

“Uncertainty in the global economy and finance that is so high in 2018 is indeed still continuing in 2019, but we expect not to be as high as it did in 2018,” he said.

Therefore, BI believes the rupiah in 2019 is more stable and even tends to strengthen.

“And finally, therefore, it will provide a positive factor for the future exchange rate,” he added.

Reference:
cnbcindonesia.com
detik.com

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