Rupiah vs USD Exchange Rate – December 29, 2025
- * Rupiah Weakens: The rupiah opened lower against the US dollar on Monday, December 29, 2025, weakening by 0.16% to IDR 16,771 per US dollar.
- In essence, the rupiah is under pressure due to potential easing of Indonesian monetary policy, but the weakening US dollar is providing some support.The market is in a...
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* Rupiah Weakens: The rupiah opened lower against the US dollar on Monday, December 29, 2025, weakening by 0.16% to IDR 16,771 per US dollar.
* BI Policy Impact: the market is reacting to signals from Bank Indonesia (BI) about potential further easing of monetary policy (interest rate cuts). BI has already cut rates by 150 basis points in 2025 and held the BI-Rate at 4.75% in December,signaling more cuts are possible.
* Trading Economics Forecasts:
* End of Quarter: IDR 16,768.57
* Next 12 Months: IDR 16,465.07
* This week: Projected to decline, extending year-to-date decline to around 4%. The rupiah is currently the weakest Asian currency.
* Key Data Releases: The market is awaiting the release of December inflation and November trade data next week.
* US Dollar Index: The US dollar index is weakening (down 0.06% to 97.95), near its lowest level since early October 2025, due to expectations of interest rate cuts by the US Federal Reserve in 2026. This is limiting the rupiah’s decline.
* Asian Currency Comparison: Other Asian currencies are showing mixed performance:
* Strengthening: Japanese Yen, Taiwan Dollar, korean Won
* Weakening: Malaysian Ringgit (slightly)
In essence, the rupiah is under pressure due to potential easing of Indonesian monetary policy, but the weakening US dollar is providing some support.The market is in a “wait and see” mode, anticipating key economic data releases and further signals from BI.