Stability In Sight For Ailing Rupiah
Given that the Indonesian rupiah is currently trading slightly below our end-2013 forecast of IDR11,700/US$, we are neutral on the unit over the short-term. That said, the scale of the currency's recent sell-off suggests that bearish sentiment towards the rupiah is likely peaking, and with fundamentals gradually improving, this could set the stage for a more constructive environment in 2014.
|Recovery Not Yet Secured|
|Indonesia - Trade Balance, US$mn|