Uncertainty in Fiscal Policy, Push the Rupiah Down
Monday, June 17, 2024
The rupiah is under heavy pressures from the global financial markets turmoil. Domestic policy uncertainty makes it worse.
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TWO contrasting sentiments emerged almost simultaneously in the global financial markets last Wednesday. The positive sentiment came first: the annual inflation rate in the United States had eased. By the end of May, it stood at 3.4 percent, down from 3.6 percent at the end of April.
This figure represents core inflation, which excludes volatile food and energy prices. This is one of the most watched data points in the market, as the
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