Rupiah has best week since 2009 as foreign funds return

Posted on October 26, 2013 by Nanthakumar Victor Emmanuel, P.Eng Leave a comment

Indonesia’s rupiah completed its best week since June 2009 on speculation the Federal Reserve will delay cutting stimulus. Government bonds rallied, pushing the 10-year yield to an almost four-month low.

The currency strengthened the most since Sept. 19 Friday after global funds increased their sovereign debt holdings to a record Rp 309.05 trillion (US$28.1 billion) Thursday. Overseas investors bought more local stocks than they sold this week through Oct. 24, the first net inflow in a month. The Fed will postpone a plan to pare its $85 billion a month of bond buying to March, an Oct. 17-18 Bloomberg survey showed, instead of December as predicted by a similar poll last month.

http://www.thejakartapost.com/news/2013/10/26/rupiah-has-best-week-2009-foreign-funds-return.html