Jakarta - The rupiah exchange rate on Thursday (7/10) has the opportunity to strengthen as market sentiment towards risky assets appears to improve with the increase in stock indexes.

"Rising commodity prices can also help strengthen the rupiah because commodities are still the main driver of the increase in Indonesia's trade balance surplus," said money market observer Ariston Tjendra in Jakarta.

Today, the rupiah exchange rate may strengthen to the range of 14,240 per US dollar.

On the other hand, expectations of US tapering still overshadow the movement of the exchange rate.

Yesterday the US employment data was released better than expectations. This could strengthen expectations of tapering in November.

"This expectation is also reflected in the 10-year tenor US government bond yields which are seen to rise above 1.5%. This could pressure the rupiah to weaken against the US dollar today," he said.