REPUBLIKA.CO.ID, JAKARTA--The Indonesian rupiah currency closed stronger at Rp10,890 per dollar on Monday evening amid concerns over the United States Federal Reserve's plan to postpone to end stimulative quantitative easing policy

The rupiah traded at Rp10,890 per dollar at the Jakarta interbank spot market on Monday evening, climbed 218 points from Rp11,108 per dollar last Friday (Oct 18).

"The US dollar again comes under pressure against the world's major currencies, including the rupiah, because of the high expectation that the Fed will postpone the tapering of its stimulus program," said Ariston Tjendra, chief researcher of Monex Investindo Futures.

The high expectations came after US budget negotiations came to a standstill early this month, leading to a partial shutdown of US government services, he said.

"Because of worries about the negative impact of the shutdown on the US economy, the dollar has come under pressure, owing to the high expectation of the Fed's plan to postpone the tapering of its stimulus program. As a consequence, other major currencies have had room to appreciate," he said.

However, investors still remain alert for anticipated US economic data released after the operations of the US government returns to normal, he said.

According to Bank Indonesia's mid exchange rate on Monday, the rupiah weakened at Rp11.358 per dollar against Rp11,308 per dollar last Friday (Oct 18).

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