Rupiah Weakens After US Threatens to Extend Naval Blockade on Iran

The rupiah exchange rate closed lower on Thursday, weakening by 20 points or 0.12% to Rp 17,346 per US dollar from the previous close of Rp 17,326 per US dollar. Currency and commodity economic analyst Ibrahim Assuaibi assessed that this weakening was triggered by US President Donald Trump’s preparations to impose a prolonged naval blockade on Iran. Concerns over this scenario were exacerbated by reports that several leading US oil executives met with Trump at the White House to discuss how to mitigate the conflict’s impact on American society, Ibrahim stated in a written comment in Jakarta on Thursday, 30 April 2026, as quoted by Antara. A prolonged naval blockade is seen as likely to prompt Iran to continue blocking the Strait of Hormuz in retaliation, indicating greater disruptions to global oil supplies. Shipping traffic through the Strait of Hormuz has slowed since Iran blocked the route at the end of February 2026, disrupting around 20% of the world’s oil supply. However, a report on Wednesday (29/4) indicated that Trump is seeking assistance from other countries to form a new international coalition to reopen the waterway. Trump has repeatedly asked other countries to help reopen Hormuz, although major US allies have largely refused to assist. He has been seen criticising NATO members for not providing military help to the US and Israel during the conflict, he said. Negotiations between the US and Iran have largely failed amid disagreements over Iran’s nuclear activities. Although Trump extended the ceasefire with Iran indefinitely, both sides have mostly rejected any efforts to mediate talks. In addition, Federal Reserve Chair Jerome Powell congratulated Kevin Warsh for passing the first stage in his journey to become his successor as Fed Chair. He stated that he would remain in office as governor until political pressures subside, adding that ‘the Fed’s independence is at risk’, Ibrahim revealed. The Jakarta Interbank Spot Dollar Rate (JISDOR) from Bank Indonesia also moved lower on Thursday to Rp 17,378 per US dollar from the previous Rp 17,324 per US dollar.