Breaking! Rupiah Strengthens, US Dollar Falls to Rp16,970
Jakarta, CNBC Indonesia - The rupiah exchange rate opened stronger against the US dollar on this morning’s trading session, Thursday (2/4/2026), even as the US dollar strengthened in the global market following US President Donald Trump’s speech.
According to Refinitiv data, the rupiah started trading in the green zone with a slight appreciation of 0.03% to the level of Rp16,970/US.ThisstrengtheningcontinuesthepositiveperformancefromWednesday′s(1/4/2026)close, whentherupiahalsogained0.09.
On the other hand, the US dollar index (DXY), which measures the greenback’s strength against six major world currencies, rose again. As of 09:00 WIB, the DXY was recorded strengthening by 0.22% to 99.891.
Today’s rupiah movement is expected to still be influenced by external sentiment, particularly the direction of the US dollar in the global market and developments in the Middle East geopolitical conflict.
The market is responding to US President Donald Trump’s speech delivered on Wednesday night local time, or Thursday morning Indonesian time.
In his speech, Trump emphasised that the United States is getting closer to completing all its military objectives in Iran in the near future. Although he did not explain in detail the US exit scenario from the conflict, Trump stated that attacks on Iran would be carried out very harshly in the next two to three weeks.
He also said that after the conflict ends, the Strait of Hormuz would reopen by itself.
The speech immediately drew market attention, which is currently very sensitive to every development in the Middle East. The ongoing conflict has affected oil prices and various financial assets, while also altering market expectations regarding inflation, economic growth, and the direction of US central bank (The Federal Reserve/The Fed) interest rate policy this year.
This situation is driving the strengthening of the US dollar index and making room for the strengthening of other countries’ currencies, including the rupiah, increasingly limited.