USD/IDR Rebounds, Close To Previous Reported Intervention Levels

Like elsewhere in the region, USD/IDR has rebounded today. The pair last at 15950, just under recent reported intervention levels above 15960. In the past week the pair has largely drifted sideways, but dips have been supported as we head into the US FOMC meeting later.

• Oct CPI has just printed with headline close to expectations (2.56% y/y and m/m at 0.17%, core at 1.91%y/y). Pressures are just up off recent lows. Offshore developments, particularly in terms of the Fed and pressure on IDR, will likely have a greater say on any follow up BI tightening actions though. Earlier we had the Oct PMI print at 51.5, from 52.3 prior.
• In the cross-asset space, 5yr CDS has ticked down from recent highs, last near 97bps. Some resiliency in global equities with risk aversion lower has likely helped, although local equities remain volatile. The JCI is off -0.80% so far today, hovering around the 6700 level.
• In terms of portfolio flows, Oct ended with nearly $500mn in equity outflows, with roughly a quarter of that in the final week of the month. Bond outflows were -$870.1mn, but outflows stabilized in the final week of the month.