Rupiah Dragged Down by Oil Prices, Opens Weaker at Rp17,803 per US Dollar
The Indonesian rupiah exchange rate against the United States dollar moved weaker at the opening of trading on Tuesday, 11 August 2026. The rupiah was under pressure after crude oil prices rose again and global geopolitical risks heated up.
Based on trading data, the rupiah at the opening was recorded to have weakened by 40 points or 0.23 percent to Rp17,795 per US dollar compared to the previous trading close of Rp17,755 per US dollar. Meanwhile, in spot trading on Tuesday (11/8/2026), the rupiah opened trading with a 0.23 percent depreciation to the level of Rp17,803 per US dollar.
This movement indicates the rupiah has returned to the red zone after managing to strengthen the previous day. The rupiah’s strengthening in the prior session was partly supported by positive domestic sentiment, particularly certainty regarding the candidate for Governor of Bank Indonesia (BI).
One of the factors weighing on the rupiah’s movement today is the increase in crude oil prices, which have reached around US$87 per barrel. The rise in oil prices occurred amid increasing geopolitical risk following a recent drone attack on an oil refinery in western Libya. The attack destroyed an oil storage tank, heightening risks to oil facilities and potentially worsening fuel shortages in Libya, a member of the Organization of the Petroleum Exporting Countries (OPEC).
The increase in oil prices and geopolitical risks subsequently added pressure to the rupiah. This condition indicates the market is still applying a risk premium to the rupiah as crude oil prices are lifted. The rise in oil prices is a concern as it can increase pressure on the economy and currency movements.
In contrast to the rupiah, the majority of Asian currencies moved stronger in trading today, although the gains were relatively limited. The South Korean won was recorded to have strengthened by 0.17 percent, while the Japanese yen rose by 0.1 percent. The Taiwan dollar strengthened more modestly by 0.07 percent, and the Singapore dollar and Thai baht each recorded a 0.02 percent gain.