Rupiah Weakens to 17,104 per US Dollar
The rupiah exchange rate weakened at the close of trading on Friday, 10 April 2026, to the level of 17,104 per US dollar, or a drop of 0.08 percent compared to the previous day. Thus, the rupiah has consistently been at the 17,000 level per US dollar for the past week.
Director of PT Traze Andalan Futures, Ibrahim Assuabi, predicted that in next week’s trading, the rupiah will move fluctuatively but weaken again. “Over the week, the rupiah was traded in the range of 17,040-17,200 per US dollar,” said Ibrahim in a written statement on Friday, 10 April 2026.
The rupiah’s weakening occurred amid the strengthening of the US dollar. According to Ibrahim, the global sentiment affecting this exchange rate movement was triggered by tensions in the Middle East. The two-week ceasefire between the US and Iran has begun to ease. Meanwhile, Israel has signalled potential diplomatic openings, stating it is ready to start direct talks with Lebanon as soon as possible.
Disruptions in the Strait of Hormuz have also had a significant impact. Although tensions have eased, ship traffic through the strait is still restricted by Tehran’s forces. Iran and the US agreed on Tuesday to hold the two-week ceasefire mediated by Pakistan. “However, fighting still occurred after that announcement,” said Ibrahim.
Another influencing sentiment is that the market is now awaiting important US consumer inflation data to be released on Friday. The release results could provide further clues about the direction of the US Central Bank’s policy or the Federal Reserve. The main US Consumer Price Index (CPI) data is predicted to rise due to the surge in energy prices amid the Middle East conflict.
Domestically, the ongoing currency weakening is beginning to worry businesspeople. The General Chairman of the Indonesian Employers’ Association (Apindo), Shinta Kamdani, stated that the direct impact on the business world will be inflation due to rising production costs or cost-push inflation. In addition, companies are finding it increasingly difficult to create the necessary cash flow to maintain existing production volumes.
The next negative impact appears in the form of eroding profits or profit margins so that the burden of cost-push inflation does not overly disrupt market prices. This risk can also be felt by the public as consumers and workers. “All of this has a clear impact on the labour market, namely job freezes, job tightening, or even layoffs, depending on how long this condition lasts and how much it can be endured by companies,” said Shinta to Tempo, quoted on Friday, 10 April 2026.