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Rupiah Weakens In Lead-Up To Bank Indonesia Rate Review

IDR

Spot USD/IDR advances for the fourth day in a row, last trades +90 figs at IDR15,693. Topside technical focus falls on Nov 4 high of IDR15,750, while bears keep an eye on Nov 11 low of IDR15,393.

  • USD/IDR 1-month NDF last +64 figs at IDR15,717. Bulls take aim at Nov 3 high of IDR15,838, with bears setting their sights on Nov 11 low of IDR15,385.
  • Foreign investors sold a net $85.22mn in Indonesian stocks Wednesday. The Jakarta Comp traded on a heavier footing but has regained poise today and last deals around unchanged levels.
  • INDOGB 5-Year/10-Year spread has widened at the margin, moving further away from multi-year flats printed last week.
  • Palm oil futures have retreated and the contract for January delivery last operates MYR150/MT below neutral levels, consolidating below its 50-DMA/MYR4,000/MT mark. The aggregate BBG Commodity Index sits ~0.6% lower on the day.
  • Bank Indonesia will almost certainly raise its 7-Day Reverse Repo Rate today, with most analysts expecting a 50bp hike. Click here to see our preview.

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