Rupiah exchange rate still overshadowed by sentiment of potential US-Iran negotiations

Jakarta (ANTARA) - The rupiah exchange rate weakened by 13 points or 0.08 percent to Rp17,156 per US dollar on Wednesday morning from the previous close at Rp17,143 per US dollar. Head of Economics at Permata Bank, Josua Pardede, told ANTARA in Jakarta on Wednesday that the rupiah exchange rate is still overshadowed by the potential negotiations between the US and Iran. “Optimism regarding the potential for a peace agreement in the Middle East increased during the Asian session, following reports that the US Vice President (JD Vance) plans to continue negotiations in Pakistan. However, the rupiah’s strengthening was trimmed amid lingering uncertainties surrounding the negotiation process,” he explained. Citing Sputnik, the second round of US-Iran negotiations to resolve the conflict is scheduled for 22 April in Islamabad, Pakistan. JD Vance has cancelled a visit to Pakistan, indicating that progress in Middle East peace negotiations is stalled. Nevertheless, US President Donald Trump stated that the ceasefire will be extended until the negotiations are completed. Looking at other sentiments, the release of US March 2026 retail sales data recorded an increase of 1.7 percent month-on-month (mom), up from 0.7 percent mom previously and exceeding market expectations of 1.4 percent mom. Based on these factors, the rupiah is projected to move in the range of Rp17,125-Rp17,225 per US dollar.