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Bank Indonesia Says It's Intervening In FX Spot & DNDF Markets

INDONESIA CENTRAL BANK

Bloomberg runs comments from Bank Indonesia Executive Director for Monetary Management Edi Susianto, who says that the central bank is keeping an eye on bond yields and stands ready to intervene to "calm the bond market" if necessary.

  • INDOGB yields rose overnight amid wider pressure to EM assets, with the yield on 10-year bonds topping 7% for the first time since March. Meanwhile, spot USD/IDR erased its YtD losses as a result of today's upswing.
  • Susianto added that Bank Indonesia is currently intervening in FX spot and DNDF markets to balance supply and demand and maintain market expectations. This brings some reprieve to the rupiah, with USD/IDR 1-month NDF easing off highs.

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