Rupiah Strengthens to Rp 16,894 per US Dollar This Morning
Jakarta – The rupiah opened stronger in the spot market during Tuesday trading (10 March 2026). The rupiah appreciated 55 points or 0.32 per cent to Rp 16,894 per US dollar. A day earlier, the rupiah had closed weakly at 0.14 per cent to Rp 16,949 per dollar.
Currency and commodity observer Ibrahim Assuaibi predicted the rupiah would continue to move fluctuatively. “For tomorrow’s trading (Tuesday), the rupiah will move fluctuatively but close weaker in the range of Rp 16,950 - Rp 17,000 per dollar,” said Ibrahim.
According to Ibrahim, the US dollar index strengthened amid increased geopolitical tensions in the Middle East. This condition is placing pressure on developing-country currencies, including the rupiah. Energy price levels are approaching peaks seen during the Russia-Ukraine conflict in 2022.
“Oil prices surged by up to 30 per cent, far exceeding 100 dollars per barrel and approaching the highest levels seen during the early stages of the Russia-Ukraine war in 2022,” said Ibrahim.
The energy price spike was triggered by Israeli and American air strikes against Iranian oil facilities over the weekend. Iran subsequently retaliated with missile attacks against several oil facilities in the Middle East region.
“Israeli and US air strikes targeted Iranian oil facilities over the weekend, whilst Tehran retaliated by launching missile attacks against several oil facilities in Middle Eastern countries,” said Ibrahim.
Tensions escalated after Iran reportedly attacked a ship passing through the Strait of Hormuz. This waterway is one of the world’s most critical energy shipping routes. Disruption to oil distribution could potentially trigger global energy supply disruptions if the Strait of Hormuz remains closed for an extended period.
The geopolitical situation also intensified after Iran appointed Mojtaba Khamenei as the successor to Ayatollah Ali Khamenei as Iran’s Supreme Leader. This appointment was viewed as strengthening the influence of hardline groups in Tehran.
Chinese government data showed consumer price index inflation rose 1.3 per cent year-on-year in February. This figure was higher than market expectations of 0.9 per cent and represents the fastest pace in three years.
“In Asia, China’s consumer price index inflation grew 1.3 per cent year-on-year in February, according to government data. This figure was higher than expectations of 0.9 per cent, and also grew at the fastest pace in three years,” said Ibrahim.
The inflation increase was driven by rising household spending during the Lunar New Year holiday. Demand for travel, services, and consumer goods increased during this period. Nevertheless, China’s producer price index remains in contraction. Markets are still waiting to see whether inflationary pressure in the country will continue after the holiday period.