Rupiah hits fresh lows versus USD
The Indonesian Rupiah has weakened to fresh lows against the US Dollar due to rising US yields and domestic policy uncertainty.
The Rupiah’s decline is also attributed to higher energy prices, which are weighing on investor sentiment.
Net foreign equity outflows persist, with the Jakarta Composite Index down more than 30% year-to-date.
Extremely tight USD/IDR liquidity points to further upside risks, though crowded positioning could trigger sharp reversals.