Rupiah Opens Flat This Morning, US Dollar Holds at Rp17,710
The rupiah exchange rate opened flat against the US dollar in morning trade today, amid dynamics in the greenback on global markets.
According to Refinitiv data, at the opening of trading on Tuesday (1/9/2026), the rupiah stood at Rp17,710/US, unchangedfromthepreviousclose.OnMonday(31/8/2026), therupiahhadclosed0.14.
Meanwhile, the US dollar index (DXY), which measures the greenback’s strength against six major world currencies, was seen edging up 0.04% to 99.468 at 09.00 WIB. The DXY reversed course after closing 0.27% lower in the previous session.
The greenback moved in a narrow range as markets weighed the likelihood of a Federal Reserve interest rate hike in September and awaited US employment data due for release at the end of the week.
The probability of a Fed rate hike at the 15-16 September meeting now stands at 64%, up from around 35% before Fed Chair Kevin Warsh’s speech at the Jackson Hole symposium last Friday.
Warsh said the Fed still has work to do if inflation does not move back towards the 2% target. The statement reinforced the view that a rate hike may be needed to curb price pressures.
Expectations of higher interest rates can maintain the appeal of dollar-denominated assets and limit gains in emerging market currencies, including the rupiah.
In addition, the market is awaiting the House of Representatives’ plenary session scheduled to discuss the confirmation of Destry Damayanti as the candidate for Governor of Bank Indonesia for the 2026-2031 period today.
Commission XI of the House previously approved Destry through consensus on Thursday (27/8/2026). Destry is the sole candidate put forward by President Prabowo Subianto to replace Perry Warjiyo.
Besides Destry, the House will discuss the confirmation of Aida S. Budiman as candidate for Senior Deputy Governor of Bank Indonesia and Solikin M. Juhro as candidate for Deputy Governor of Bank Indonesia.
Certainty over the new leadership of Bank Indonesia provides clarity to the market regarding monetary policy continuity and the central bank’s commitment to maintaining rupiah stability.