Rupiah Slides Amid US Dollar Strength and Soaring Oil Prices

The Indonesian rupiah continued its downward trend on Monday, hitting IDR 17,650 per U.S. dollar for the third consecutive session.

This weakness is partly due to a strengthening U.S. dollar index ahead of the Federal Reserve's upcoming policy meeting.

The currency also faced pressure from rising oil prices, which could further exacerbate inflation concerns and weigh on Indonesia's fiscal position as an oil importer.

In August, Indonesia's headline inflation rate accelerated to 3.19%, despite efforts by the government to contain food-price volatility amid El Niño's impact.