24 Jan 2023 | News & Feature

Three cheers for the Rupiah, but threats remain

  • The ongoing debt-ceiling crisis may translate to some adverse impact on the US economy, especially if the government decided to cut spending on healthcare. Intensifying partisanship have elevated the debt ceiling debacle into a regular event.
  • The market remains sanguine over the prospect of the US government defaulting on its debt as the Treasury has developed strategies to avoid default while the Fed had shown capabilities to restore the normal functioning of the market.
  • Continuous improvement in China’s economic activity and the upcoming earnings season may help to strengthen the still-positive sentiment for Indonesian assets.