The rise of the IHSG in combination with the slightly higher foreign exchange reserve's of Indonesia resulted in an appreciating rupiah. The rupiah was also supported by the rising Australian dollar after Tony Abbott became Australia's next prime minister and who has ambitious plans for the Australian economy. Moreover, the rise of China's yuan also impacted positive on the rupiah. China's currency rose due to an increase in the country's trade balance and a stable inflation rate of 2.6 percent (YoY). 

| Source: Bank Indonesia

The combination of China's higher trade balance, its stable inflation rate, its expected increased economic growth due to its involvement in the Shanghai free trade zone, Tokyo's election to host the 2020 Olympic and Paralympic Games, and Australia's election result all provided positive market sentiments on Asia's stock markets. The rise of India's Sensex index also provided a good impact.

Bahas