Rupiah Loses More Value Againts US Dollar, Index Down

Jakarta (Antara) - Rupiah lost more value against the US dollar in inter-bank transaction to close at at the level of 11,884 per dollar on Tuesday afternoon. Rupiah lost 377 points from the earlier level of 11,507 per dollar. "Though declining rupiah tends to be stable with positive sentiment on the domestic market," Rully Arya Wisnubroto, a financial market analyst of Bank Mandiri said. Rully pointed to low inflation in November and surplus in trade balance in October. The decline on Tuesday came as a correction after a significant gain on Monday, he said. He said the rupiah movements would be determined later by US labor data which will give signal to the market player in anticipating the Fed monetary policy . "Currently the market players' attention is drawn to the US labor data to be published toward the end of this week. If the labor data are not as expected, the Fed tapering off plan would be postponed," he said. He predicted rupiah would trade at the range of 11,650-11,950 per dollar on Wednesday. Chief researcher of Monex Investindo Futures, Ariston Tjendra, said the US dollar had gained on signal of improvement in the US economic condition . The improvement in the US economic condition may lead to earlier decision by the Fed to cut its financial stimulus , Ariston said . "US data would determine the direction of the movements of the currencies of developing nations," he said. (*)