Rupiah nearly touches Rp 17,000 per US dollar in early trade

The rupiah opened weaker in trading on Friday, 6 March 2026. The Indonesian currency depreciated by 4 points, or 0.02 percent, to Rp 16,909 per US dollar. A currency analyst at Doo Financial Futures, Lukman Leong, forecast that the rupiah would again weaken against the US dollar, as external pressures from global developments intensify. One of the main factors stems from the escalation of geopolitical tensions in the Middle East, after Iran threatened retaliation against the United States following the sinking of an Iranian warship by the U.S. military. ‘The rupiah is expected to weaken again against the US dollar, which is strengthening on the back of the heated Middle East situation, with Iran threatening retaliation over the sinking of the warship by the United States,’ said Lukman when contacted by Kompas.com on Friday morning. In addition to geopolitical factors, the strength of the US dollar is supported by US economic data showing that the labour market remains robust. ‘The stronger US jobs data also supports the dollar,’ he said. This condition has pushed oil prices higher, which in turn increases pressure on oil-importing countries like Indonesia, as their foreign exchange needs for energy imports rise. Technically, the rupiah is projected to move in a range of Rp 16,850 to Rp 17,000 per US dollar, with volatility still high following developments in the conflict and global sentiment.