Rupiah Opens Stronger, US Dollar Falls to Rp17,925 This Morning

Jakarta, CNBC Indonesia — The Indonesian rupiah exchange rate opened stronger against the United States dollar during trading on Thursday (11/6/2026). Citing Refinitiv data, the rupiah started trading this morning with a 0.14% gain, appreciating to a level of Rp17,925 per US dollar. This strengthening continues the rupiah’s positive performance from the previous trading session. On Wednesday (10/6/2026), the Garuda currency closed 0.55% stronger at Rp17,950 per US dollar. That position meant the rupiah successfully moved away from the psychological level of Rp18,000 per US dollar. Meanwhile, the US dollar index (DXY), which measures the greenback’s strength against six major world currencies, was observed to have weakened slightly by 0.05% to a level of 99.896 as of 09:00 WIB. The weakening of the US dollar in global markets provides a tailwind for the movement of developing country currencies, including the rupiah. The decline in the US dollar index indicates mounting pressure on US dollar-denominated assets. This condition can open up space for other currencies to strengthen. The US dollar weakened after Uncle Sam’s consumer inflation data showed the highest increase in three years during May. However, this realisation was still in line with economists’ expectations, so it has not significantly altered the likelihood of an interest rate hike by the US central bank (The Federal Reserve/The Fed) this year. US consumer inflation increased at its fastest pace in three years as the Iran war drove up prices of petrol and other energy products. The US Consumer Price Index (CPI) rose 4.2% year-on-year in May 2026. This increase was the highest since April 2023. The figure matched economists’ forecasts, which had previously projected the CPI to rise 4.2% annually. Short-term money market players in the US began to slightly reduce bets that The Fed would raise interest rates as soon as September. However, expectations that an interest rate hike could occur in October remain quite strong. On the domestic front, market participants are also closely watching the latest release of Bank Indonesia’s Consumer Survey. BI reported that the Consumer Confidence Index for the May 2026 period fell to 120.9, lower than the April 2026 level of 123.0. Although still in the optimistic zone as it remains above the 100 level, the decline in the Consumer Confidence Index indicates that consumer confidence in economic conditions is beginning to weaken. This position is also the lowest since September 2025.