USD/IDR: Continued sideways trading around the 15,400-15,800 range – Commerzbank

FXStreet Insights Team FXStreet

USD/IDR is stable at around the 15,600 level following Indonesian general elections. Economists at Commerzbank analyze the pair’s outlook.

Indonesia to post steady growth of around 5.1% this year

Prabowo Subianto, 72 and the current Defence Minister, claimed victory in the Presidential election in Indonesia. Investors have taken the result positively. The strong result for Prabowo is viewed as a vote for policy continuity of the outgoing administration led by the still popular President Joko Widodo (Jokowi).

The result is positive for stability and predictability for the rest of the ASEAN. This is because Indonesia is the largest economy in ASEAN, comprising around 35%. We project Indonesia to post steady growth of around 5.1% this year. However, it has the potential to grow even faster at around 6-7%.

For now, the FX market is taking the results positively and we continued sideways trading for USD/IDR around the 15,400-15,800 range.

Author

FXStreet Insights Team

FXStreet

The FXStreet Insights Team is a group of journalists that handpicks selected market observations published by renowned experts. The content includes notes by commercial as well as additional insights by internal and external analysts.

GBP/USD remains offered near 1.3470

GBP/USD adds to the multi-day negative streak and retreats toward the 1.3470 zone on Wednesday, or four-week troughs. Cable’s deep correction comes on the back of the unabated recovery in the Greenback and the persistent geopolitical concerns.

EUR/USD bounces off lows; still below 1.1600 post-ADP

EUR/USD now manages to pick up some pace and revisits the 1.1580 region on Wednesday. That said, the pair rebounds from earlier two-week lows following some loss of momentum in the US Dollar soon after the ADP report came in short of expectations in August.

Gold treads water above $4,300

Following an earlier pullback to the $4,280 region per troy ounce, Gold prices now regain some composure and reclaim the $4,300 mark, advancing modestly for the day and setting aside three consecutive days of losses. The precious metal’s lacklustre rebound comes amid modest gains in the US Dollar, steady geopolitical uncertainty and mixed US Treasury yields.

WTI advances to mid-$90.00s, fresh high since July 24 amid escalating US-Iran tensions

West Texas Intermediate (WTI) – the benchmark US Crude Oil price – scales higher for the third straight day – also marking the fifth day of a positive move in the previous six – and climbs to a fresh high since July 24 during the Asian session on Wednesday.

Crypto Today: Bitcoin, Ethereum, XRP edge lower as renewed US-Iran tensions weigh

The cryptocurrency market is pulling back broadly on Wednesday as investors adopt a cautious stance, with Bitcoin consolidating near its short-term support at $77,000. Ethereum remains under pressure, slipping toward $2,400. Ripple is also trending lower.

Diesel’s record $100 warning: The oil shock hiding in plain sight

The Oil market may look calmer than it did a few months ago, but diesel is sending a very different message. The US diesel crack spread, the premium of ultra-low sulphur diesel futures over WTI, recently surged above $100 per barrel for the first time, reaching an intraday record of just over $102.00.