The rupiah is traded slightly higher by five points to IDR13,327 from the previous position of IDR13,332 against the dollar.

The dollar is under pressure against the majority of global currencies, including the rupiah amid lack of opportunities for the US central bank to raise its benchmark rates.

US President Donald Trump, who is increasingly focused on geopolitical affairs on the Korean peninsula makes pessimistic against fiscal stimulus. The situation undermines the chances of a The Fed Fund Rate hike that will ultimately have a negative impact on the US dollar, said economist Samuel Sekuritas Rangga Cipta.

Domestically, he added, the sentiment is also considered positive following the activity in the Government Bond market which increased so requesting rupiah appreciation to continue.

Expectations of monetary easing in the country also increased following inflation rate in August 2017 which is expected to be lower as well as improved retail sales in July 2017 to support additional factors.

Bank Indonesia recorded a real sales index (IPR) of the June 2017 Retail Sales Survey rose 6.3 percent year-on-year, higher than 4.3 percent YOY in the previous month. Increased retail sales occurred in both food and non-food groups.

Source :netralnews

Aug 12, 2017