Rupiah Weakens Amid Concerns Over Escalation of War in the Middle East

Jakarta (ANTARA) - The rupiah exchange rate weakened by 16 points or 0.09 percent to Rp16,996 per US dollar on Monday morning from the previous close at Rp16,980 per US dollar. Currency analyst at Doo Financial Futures, Lukman Leong, stated that the rupiah’s depreciation was influenced by concerns over the escalation of war in the Middle East (Timteng). “The rupiah is expected to weaken against the US dollar amid fears of escalating war in the Middle East and continuously rising crude oil prices,” he told ANTARA in Jakarta on Monday. Quoting Anadolu, US President Donald Trump warned of the possibility of attacks on power plants and bridges in Iran on Tuesday (7/4), in the ongoing war between the US and Zionist Israel against Iran. In his statement, Trump added that Tehran must open the Strait of Hormuz or they will live in suffering. “Trump threatened that Iran will become hell tomorrow Tuesday (7/4) if Hormuz is not opened,” said Lukman. For the West Texas Intermediate (WTI) oil price, it briefly rose to 115 US dollars per barrel this morning and slightly corrected to 112 US dollars per barrel. “The US dollar index itself rose supported by stronger-than-expected US NFP (Non-Farm Payroll) employment data,” he revealed. Quoting Xinhua, the number of jobs in the NFP sector increased by 178,000 seasonally adjusted during March 2026, exceeding economists’ estimates by 59,000. The unemployment rate also fell to 4.3 percent from 4.4 percent in February 2026, against expectations of 4.4 percent. Based on these factors, the rupiah is expected to range between Rp16,950-Rp17,050 per US dollar.