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Rupiah Struggles, Eyes This Week's Trade Report & BI Decision

IDR

Spot USD/IDR ground through trendline support last Friday, but the rate has popped higher at the start to the week and last trades +35 pips at IDR14,115. The pair has edged higher despite the net risk-on assessment of weekend developments, catching up with gains posted by the greenback into Friday's close of onshore IDR trade.

  • In case you missed it, Bank Indonesia amended the schedule of its regular operations to facilitate economic activity during the year-end holiday season.
  • Elsewhere, BI released its projection of Dec CPI, which is expected to rise 0.3% M/M, with 2020 CPI inflation expected to register at +1.54%.
  • Bulls need a clearance of Dec 4 high of IDR14,170 & Nov 20 high of IDR14,206, before targeting Nov 13 high/23.6% retracement of the Sep 11 - Nov 10 sell-off at IDR14,222/14,227. Conversely, losses past Nov 10 low/round figure of IDR14,004/14,000 would bring Jun 8 low of IDR13,873 into play.
  • Looking ahead, Indonesian trade report comes out tomorrow, while Bank Indonesia will deliver its monetary policy decision Thursday. FinMin Indrawati & Econ Min Hartarto will deliver speeches today.

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