Rupiah Gains Against US Dollar
JAKARTA -- The rupiah value rose against the US dollar in the opening trade on Wednesday. The currency in inter-bank transactions, traded at the level of 11,310 per dollar from 11,324 earlier.
"Rupiah regained value after undergoing pressure and suffering a loss yesterday," PT Platon Niaga Berjangka's analyst Lukman Leong said. He said the country's economic fundamentals still attracted investors contributing to the rupiah revival; especially the political condition is favorable ahead of the forthcoming election.
Indonesia will hold legislative elections next month to be followed with presidential election. The market players began to speculate that the policy of the next government will be as expected in the investment sector, he said.
However he warned against potential short term correction.
Financial market observer from Bank Himpunan Saudara, Rully Nova, said domestic factor is still dominant in shorting up rupiah against the US dollar. (rep05)
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