The EUR to IDR exchange rate has recently shown notable strength, reaching 90-day highs near 19,727, which is approximately 1.8% above the 3-month average of 19,380. This rise is part of a stable trading range that has remained within a 3% bandwidth from 19,154 to 19,727. However, the overall sentiment towards the euro (EUR) has been cautious. The European Central Bank (ECB) recently opted to maintain interest rates amid modest growth forecasts, with President Christine Lagarde underlining concerns that a stronger euro could hinder inflation levels.
As for the Indonesian rupiah (IDR), it continues to grapple with significant challenges, having reached a 27-year low earlier in March 2025, primarily fueled by political instability and global trade tensions. Recent events, such as unrest in Jakarta and proposals to repatriate US dollar holdings, highlight the ongoing volatility facing the IDR. Concerning economic fundamentals, falling tax revenues and concerns over potential budget deficits could further destabilize the currency.
The outlook for the euro is influenced heavily by macroeconomic indicators and ECB policy decisions. Analysts note that while the euro's strength is supported by improving consumer confidence, ongoing geopolitical issues—particularly surrounding the war in Ukraine—pose risks that could lead to fluctuations in the euro's value.
In terms of oil prices, which typically impact both currencies' performance, the current oil price data shows that OIL to USD trades near 62.03, remaining 2.6% below its 3-month average. This volatility, with a range of 18.8% from 59.04 to 70.13, may also reflect broader market sentiments towards energy supplies and economic conditions, affecting both the euro and the rupiah.
Looking ahead, the interplay between ECB policy, geopolitical dynamics, and Indonesian domestic factors will likely dictate the EUR to IDR exchange movements. It is essential to stay attuned to these developments for a better understanding of potential currency shifts.
