Rupiah weakens to 11,564 at close

JAKARTA. The rupiah trade among banks in Jakarta on Wednesday afternoon depreciated by 45 points to Rp 11,564 per US dollar from Rp 11,519.

"The slowdown in Indonesia's gross domestic product [GDP] throughout the first quarter of 2014, released earlier this week, made investors worry about the country's economic performance, hence a depreciating rupiah," Monex Investindo analyst Futures Zulfirman Basir said in Jakarta on Wednesday as quoted by Antara news agency.

An external factor that weakened the rupiah rate was the contraction of the Chinese services sector, making global investors anxious toward assets in risky countries, including Indonesia.

"China is one of Indonesia's main trade partners. The slowdown in one of the Chinese economic indicators caused concerns about Indonesia's trade balance," he said.

In addition, he said investors in financial markets tended to be wary as they were waiting for more statements from the US Federal Reserve governor Janet Yellen.

"They are waiting for the statements because they can give an outlook on US monetary policy," he continued.

Meanwhile, Bank Indonesia's mid-rate showed the rupiah traded at Rp 11,527 per dollar on Wednesday, down from Rp 11,511 yesterday. (nfo)

Cek Berita dan Artikel yang lain di Google News