China Holds Loan Prime Rates Steady in January as Market Expectations Align 
US-India Trade Bombshell: Tariffs Slashed to 18% — Rupee Soars, Sensex Explodes 
RBA Raises Interest Rates by 25 Basis Points as Inflation Pressures Persist 
Oil Prices Climb as Middle East Tensions and U.S. Inventory Data Boost Market Sentiment 
China Services PMI Hits Three-Month High as New Orders and Hiring Improve 
Asian Markets Wobble as AI Fears Rattle Stocks, Oil and Gold Rebound 
BOJ Holds Interest Rates Steady, Upgrades Growth and Inflation Outlook for Japan 
Trump Administration Sued Over Suspension of Critical Hudson River Tunnel Funding 
Bank of England Expected to Hold Interest Rates at 3.75% as Inflation Remains Elevated 
Fed Governor Lisa Cook Warns Inflation Risks Remain as Rates Stay Steady 
Indonesia’s foreign reserves rose during the month of August; however, this is hardly surprising given that foreign inflows into equities and Indonesian government bonds amounted to USD 10 billion in the same period.
In lieu of this, Bank Indonesia (BI) has been building its foreign reserves, which suggests that the central bank wants to prevent excessive volatility of the rupiah, even when there is a clear push for further appreciation of the unit.
BI will continue to build up its reserves going forward. It is a step to continuously improve the economy’s macro risk profile, amid uncertainties in global financial markets. Alongside the rise in foreign reserves, the growth in short-term external debt has also been under control.
As of June 2016, short-term external debt stands at USD 41.5 billion, a tick lower than where it was in Jun15 at USD 42.9 billion (back in end-14, it stood at USD 45 billion). Meanwhile, foreign reserves-to- short-term external debt ratio is currently at circa 2.7x, way higher than a mere 2x back in mid-2013.
