Geopolitical Tensions Weigh on Indonesian Rupiah and Asian Currencies

Amid persistent geopolitical risks, the Indonesian rupiah and other Asian currencies weakened against the U.S. dollar in late trading. Two foreign exchange strategists from the Research Department of OCBC Group noted in a report that the conflict between the U.S. and Iran and the outcome of a potential ceasefire remain uncertain. The strategists wrote, "Mediators are attempting to arrange a U.S.-Iran meeting on Friday, but Iranian officials have stated that talks will not commence until the U.S. lifts its blockade." Data from the London Stock Exchange Group showed the U.S. dollar rising 0.8% against the Indonesian rupiah to 17,308 rupiah, after earlier reaching an intraday high of 17,315 rupiah. The U.S. dollar also gained 0.6% against the Philippine peso to 60.444 pesos and advanced 0.4% against the Thai baht to 32.35 baht.