Jakarta. Rupiah slipped again on Friday and is expected to remain pressured at the start of next week as mixed US data and geopolitical uncertainty continue to cloud market sentiment.

The currency closed 39 points weaker at Rp 16,675 against the US dollar on Friday afternoon, after earlier touching Rp 16,681, compared with Thursday’s Rp 16,636. The move kept the rupiah in the red for the day.

Traze Andalan Futures Director Ibrahim Assuaibi said the rupiah is likely to stay volatile on Monday, Dec. 1, with limited room for gains as markets digest newly released US indicators. September’s stronger-than-expected Nonfarm Payrolls, softer core producer inflation, and upbeat durable goods orders all point to a mixed outlook for the US economy.

“For Monday’s trade, the rupiah will likely fluctuate but end weaker in the Rp 16,670–Rp 16,710 range,” Ibrahim said.

Despite the uneven data, traders remain confident the Federal Reserve will ease policy in December. The CME FedWatch Tool shows an 85 percent chance of a 25-basis-point cut.

The rupiah is also expected to face added pressure from ongoing US-led peace efforts between Russia and Ukraine.

Domestically, the currency has yet to see support from Finance Minister Purbaya Yudhi Sadewa’s announcement that moving government funds from Bank Indonesia to state-owned banks could lift fourth-quarter growth by around 0.2 percent.

Additional end-year stimulus, including transport fare discounts for the Christmas and New Year holidays and expanded cash assistance, may help consumption but has not translated into immediate currency gains.

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