Regarding Indonesian exports, China is the main export destination. Declining Chinese demand has been a major cause for Indonesia's weak export performance, especially as prices of various commodities have plunged severely. Indonesia is a leading exporter of crude palm oil, coal and metals.

Although Indonesia posted a USD $1.02 billion trade surplus in September 2015, the country's tenth consecutive monthly trade surplus, concerns persist as the trade surplus is primarily caused by rapidly declining imports, reflecting weak investment growth and weak consumption in Southeast Asia's largest economy. Meanwhile, Indonesia's exports fell 18 percent (y/y) to USD $12.5 billion in September 2015 on weak global economic conditions.

Moreover, China's September industrial output growth failed to beat analysts' estimates, leading to the further decline of the Bloomberg Commodity Index.

Bloomberg Commodity Index:

Furthermore, a statement from Federal Reserve Bank of San Francisco President John Williams made global investors nervous as he said the Federal Reserve could raise its key Fed Fund Rate in the near future on current stable prices and maximum employment in the USA. Markets are also awaiting a speech by US Federal Reserve Chairwoman Janet Yellen scheduled later today.

Bank Indonesia's benchmark rupiah rate (Jakarta Interbank Spot Dollar Rate, abbreviated JISDOR) depreciated 0.52 percent to IDR 13,634 per US dollar on Tuesday (20/10).

Indonesian Rupiah versus US Dollar (JISDOR):

| Source: Bank Indonesia