Breaking News! US Dollar Rises to Rp17,380 This Morning
Jakarta, CNBC Indonesia - The rupiah exchange rate opened trading in a weakening zone against the US dollar on Tuesday (5/5/2026). This pressure is occurring amid the strengthening of the US dollar in the global market.
According to Refinitiv data, the rupiah opened at the level of Rp17,380/US$, or depreciated by 0.09%.
This weakening also continues the pressure from the previous trading session, when the rupiah closed weaker by 0.36% to the position of Rp17,365/US$, which is the weakest closing position for the rupiah of all time.
Meanwhile, the US dollar index or DXY, which measures the strength of the greenback against six major world currencies, was observed to be strengthening. As of 09:00 WIB, the DXY rose 0.15% to the level of 98.521.
The rupiah’s movement in today’s trading will still be influenced by domestic and external sentiments.
Domestically, market participants are awaiting the release of Indonesia’s first-quarter 2026 economic growth, which will be announced by the Central Statistics Agency (BPS) today.
Based on the consensus gathered by CNBC Indonesia from 12 institutions, Indonesia’s economy is estimated to grow by 5.40% on an annual or year-on-year (yoy) basis. However, on a quarterly basis, the economy is projected to contract by 1.0% compared to the previous quarter or quarter-to-quarter (qtq).
If it matches the projection, the first-quarter 2026 economic growth will be the highest since the third quarter of 2022, which at that time reached 5.73%. This achievement also has the potential to become the highest economic growth in the era of President Prabowo Subianto.
For information, Indonesia’s economy in the fourth quarter of 2025 grew by 5.38% yoy.
From the external side, the US dollar is strengthening again in the global market. This condition is driven by demand for safe-haven assets amid the renewed escalation of war in the Middle East.
Tensions have increased again after US forces were said to have successfully repelled an Iranian attack while escorting two US-flagged ships passing through the Strait of Hormuz.
On the other hand, the United Arab Emirates reported successfully intercepting a cruise missile launched by Iran, while a large fire at Fujairah Port was said to have occurred due to a drone attack.
That situation has again lifted oil prices, the US dollar, and US Treasury yields simultaneously. The market is concerned that energy price pressures could reignite inflation and force the US central bank (The Federal Reserve/The Fed) to maintain tight monetary policy for longer, even opening the door to interest rate hikes if inflation pressures worsen.
The strengthening of the US dollar in the global market ultimately narrows the room for emerging market currencies to strengthen, including the rupiah. This condition makes the rupiah still vulnerable to downward pressure in today’s trading.