The rupiah opened weaker against the US dollar in Wednesday’s trading session (April 29, 2026). According to Refinitiv data, the currency started the morning in negative territory, depreciating by 0.26% to Rp17,255 per US dollar. This decline continues the pressure seen in the previous session, where on Tuesday (April 28, 2026), the rupiah closed down 0.15% at Rp17,210 per US dollar.

Meanwhile, the US Dollar Index (DXY), which measures the strength of the greenback against six major global currencies, was observed at 09:00 WIB to edge slightly higher to 98.646.

The rupiah’s movement today is still expected to be influenced by external factors, particularly the direction of the US dollar in global markets ahead of the Federal Reserve’s interest rate announcement.

The US dollar showed a tendency to strengthen on Wednesday, as investors remain in a wait-and-see mode regarding the Fed’s interest rate decision. This meeting is also under close scrutiny as it is expected to be one of Jerome Powell’s final moments serving as Fed Chair.

The Fed is anticipated to keep interest rates unchanged. However, market attention is not only focused on the rate decision itself but also on the Fed’s outlook regarding the impact of the Middle East conflict on the US economy, inflation, and future interest rate direction.

Market participants are also monitoring Powell’s future at the Fed. Previously, Powell stated he would remain in his position if he believed the Fed’s independence was under threat. Therefore, his future decisions are seen as highly dependent on his perception of the central bank’s independence.

Beyond the Fed’s agenda, ongoing uncertainty surrounding the Middle East conflict continues to weigh on global markets. Oil prices rose on Tuesday as investors assessed that the Iran conflict shows no signs of resolution. News of the United Arab Emirates scaling back its ties with OPEC has further heightened concerns about global energy supply.

Rising oil prices have also pressured the US bond market. Bond prices declined while yields increased, as investors worry that elevated energy costs could once again fuel inflation.

These conditions limit the rupiah’s movement. If the US dollar strengthens further and investors shift toward safe-haven assets, emerging market currencies such as the rupiah may remain under pressure.