Jakarta (ANTARA News)- The rupiah weakened against the US dollar in the Jakarta interbank spot market here on Monday morning on domestic happenings.

The Indonesian currency traded at Rp9,595-Rp9,605 per US dollar, up 50 points from Rp9,540-Rp9,555 per US dollar at the market`s close a day earlier.

The rupiah`s depreciation was normal because some cases in the country prompted market negative pressures, according to Edwin Sinaga, a domestic money market observer, said.

The arrest of two suspended KPK (Corruption Eradication Commission) leaders triggered pro and contra responses, prompting investors to be worried over law enforcement in Indonesia, Sinaga said.

The local unit, however, still had a chance to strengthen because investors were still in the market following developments around the KPK case, after the president said that he would maintain the existence of KPK, Edwin Sinaga, a director of PT Finan Corpindo Nusa, said.

"We are optimistic that the KPK case will not last long, and foreign investors will eventually be back in the market," he said.

Meanwhile, Fauzi Ichsan, a domestic money market observer of Standard Chartered Bank, was optimistic that the rupiah would move upward again at the end of this year.
The rupiah was expected to reach the level of between Rp9,200 and Rp9,300 per US dollar, he said.(*)

Editor: Heru

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