Rupiah Opens Slightly Weaker as US Dollar Rises to Rp18,050

Jakarta, CNBC Indonesia - The rupiah exchange rate opened slightly weaker against the US dollar on Thursday (30/7/2026), even as the US central bank, The Federal Reserve (The Fed), decided to hold its benchmark interest rate steady. According to Refinitiv data, the rupiah opened down 0.03% at Rp18,050 per US dollar. This depreciation halted the previous day’s gains for the Garuda currency. On Wednesday (29/7/2026), the rupiah closed 0.06% stronger at Rp18,045 per US dollar, after touching Rp18,100 per US dollar at the opening of trade. Meanwhile, the US dollar index (DXY), which measures the greenback’s strength against six major world currencies, was seen moving steadily at 100.880 at 09.00 WIB. The DXY tended to be flat after a sharp 0.52% decline in the previous session, responding to the Fed’s decision to hold interest rates. The rupiah was actually receiving a tailwind from external dynamics in today’s trading, particularly the weakening of the US dollar in global markets following the announcement of the Federal Open Market Committee (FOMC) meeting results. The Fed decided to maintain its benchmark interest rate in the range of 3.50%-3.75%. This decision was in line with the majority of market participants’ expectations. The US dollar subsequently weakened against a number of major world currencies. The Fed’s decision to hold rates reduced some market expectations of monetary tightening in the near term. However, the decision was not unanimous. Three of the 12 FOMC members dissented and wanted a 25 basis point rate hike at this meeting. The Fed assessed that the current interest rate level is still high enough to restrain economic activity and reduce inflationary pressures. The central bank also expects that price increases due to import tariffs could ease on their own. Although rates were held steady, the future direction of The Fed’s policy has become more difficult to predict. Fed Chair Kevin Warsh stressed that the central bank will no longer provide clues or forward guidance regarding the direction of interest rates. ‘I understand the desire for this committee to provide projections and comments on the direction of policy. But for us, the most important thing is to observe how the market reacts to developments directly without filters,’ Warsh said, as quoted from CNBC International. Warsh confirmed that The Fed remains ready to act if necessary to bring inflation back to the 2% target. He noted that FOMC decisions have a very large impact on the economy, so every step must be taken based on the latest data developments. The absence of forward guidance means market attention will now turn to US inflation and labour market data. These data points will be the main material for reading the likelihood of a rate change at the next FOMC meeting.