Rupiah Struggles Despite Signs Of Consumer Confidence Firming

Spot USD/IDR keeps pushing higher after a firmer re-open even as data indicated recovery in consumer sentiment. The rate sits +59 figs at IDR14,552 as bulls look to a challenge to resistance from May 31 high of IDR14,598. This would set the scene for a further rally towards May 20 & 23 highs of IDR14,678. Bears look for a sell-off towards Jun 3 low of IDR14,423.

• USD/IDR 1-month NDF last +38 figs at IDR14,558. Bulls eye May 31 high of IDR14,601 for initial resistance, with bears looking for a slide through Jun 2 low of IDR14,393.
• Head of foreign affairs at the Indonesian Palm Oil Association accused the government of upsetting the market with frequently tweaked export controls. He suggested that the authorities should let palm oil price be determined by the market and "protect the lower-income group by giving them direct cash transfers to compensate for the high price."
• Bank Indonesia's consumer confidence gauge improved to 128.9 in May from 113.1 prior. Danareksa Research's equivalent, published yesterday, rose to 90.3 in May from 83.9 recorded in April.