Jakarta - The rupiah exchange rate against the US dollar on Monday (18/10) has the opportunity to strengthen with the strengthening momentum obtained from positive global sentiment.

"Market sentiment towards risk is improving with the increase in global stock indexes at the end of last week supported by the improvement in the latest corporate earnings reports. This indicates an economic recovery amid the pandemic," said Money Market Observer Ariston Tjendra in Jakarta.

The rupiah exchange rate has the potential for strengthening to around the level of 14,020 per US dollar.

However, the market will be wary of an increase in the yield on US government bonds, which is approaching 1.6% again due to improving US retail sales data released last weekend.

"This increase in yield indicates the market's anticipation of the possibility of tapering in the near future. This could encourage the strengthening of the US dollar," he sai