USD/IDR Recovers Further, In Line With Higher US Yields

USD/IDR sits above 15680 in recent dealings, down from earlier highs of 15695, but still ~0.20% weaker in IDR terms versus yesterday's closing levels. The pairs remains in a modest uptrend, largely following the rebound in US yields in recent sessions.

• To close the gap with the earlier November break lower in the pair we need to get back to the 15725 region, which is also near the 20-day EMA. On the downside, the 50-day EMA is back near 15607.
• In the cross asset space, 5yr CDS has ticked higher, back above 87bps. Local equities are largely track sideways, last near 6830 for the JCI.
• Offshore investors are still net sellers of local equities (-$86mn in outflows this week), but bond inflows have been more positive, +$151.8mn. Foreign ownership levels of local bonds continues to recover from October lows.
• Looking ahead, next Wednesday delivers October trade figures.