Forex
Rupiah Slumps Amid Surprise Resignation of Bank Indonesia Governor
The Indonesian rupiah slid back above the psychologically important threshold of 18,000 per dollar after Bank Indonesia Governor Perry Warjiyo resigned.
The unexpected move weighed on investor sentiment and pushed the currency down 0.26% to Rp 18,009 against the US dollar, according to Bloomberg.
Currency analyst Lukman Leong attributed the rupiah's weakness to domestic developments, rather than global factors such as the weaker US dollar and easing geopolitical tensions in the Middle East.
Lukman forecast the currency to trade between Rp 17,900 and Rp 18,150 per dollar this week, noting that a sustained return to around Rp 17,500 would be difficult without lasting improvement in geopolitical conditions.