Southeast Asian currencies amid US data

In early August the Malaysian ringgit was largely stable, slipping 0.05 % as the dollar softened, while the Indonesian rupiah slipped modestly. Two days later the ringgit opened slightly higher ahead of the U.S. non‑farm payroll report, and the rupiah fell amid Middle‑East risk and expectations of tighter U.S. policy. By 7 August the ringgit remained little changed against the dollar, with analysts pointing to a stronger U.S. dollar index and lingering Strait of Hormuz tensions as headwinds. The rupiah, however, closed about 0.15 % stronger at 17,897 per dollar, supported by Bank Indonesia’s reported foreign‑exchange reserves, solid second‑quarter GDP growth and a de‑escalation of Iran‑Oman diplomatic tensions that reduced safe‑haven demand. Overall the two currencies have shown resilience, reacting to the same set of drivers – U.S. labour‑market data, Fed rate expectations and Middle‑East geopolitical developments – while local economic fundamentals and central‑bank actions provide additional support.