The Indonesian Rupiah declines for a second day amid weak economic data and risk aversion, with focus on next week’s central bank decision.
USD/IDR rose to 17,920 in European trading, extending gains as the Indonesian Rupiah faces pressure from soft domestic fundamentals and global risk aversion. July retail sales and consumer confidence remained subdued, weighing on the currency.
Analysts note bearish momentum persists ahead of Bank Indonesia’s 19 August policy meeting, the first under acting Governor Destry Damayanti. USD/IDR was last seen at 17,762, with technical indicators suggesting stretched downside pressure.
The US Dollar strengthened on safe-haven demand amid Middle East tensions, further supporting the pair’s advance.