Rupiah Losses more Value Against US Dollar

Jakarta (Antara) - The Indonesian currency rupiah in inter-bank transactions on Tuesday lost more value against the US dollar trading at the level of 13,030 per dollar from earlier level of 13,025. Chief researcher of NH Korindo Securities Indonesia Reza Priyambada attributed the rupiah falling value to US data showing an increase in the number of jobs or a decline in unemployment rate. The decline in unemployment rate led to speculation again about the Fed raising its fund rate, and the speculation weakened other currencies in the world including rupiah against the US dollar, Reza said. \"The positive domestic sentiment after the rise in the country\'s foreign exchange reserve to US$115.5 billion by the end of February began to fade under the Fed sentiment,\" he said. However, the positive sentiment of Indonesia\'s economic fundamentals being fairly strong would in long term strengthen rupiah, he said. \"For the time being rupiah tends to weaken on global impact, but ahead, a reversal for the better is potential,\" he said. Analyst from stock rating company Pemeringkat Efek Indonesia (Pefindo) Guntur Tri Hariyanto said the deflation in January and February 2015, gave rise to expectation that Bank Indonesia would cut its benchmark interest rate (BI rate). \"Lower BI rate is expected to boost the country\'s economic growth ahead, especially as the country\'s current account balance is improving,\" he said.(*)