Beware The Return Of Risk Aversion

Despite financial markets bouncing sharply across Asia over the past two days following the recent coordinated response to the unfolding crisis around the world, we continue to highlight the vulnerability of the Indonesian rupiah. The currency sold off sharply during the recent financial markets tumble, plunging 4.67% between reopening at IDR9,425/US$ after the Eid festivities on October 6 and the close of the week, underscoring the fact that when risk aversion hits, the rupiah suffers sharply.

To read the full article, please choose one of the following options: