The Indonesian rupiah fell sharply to a record low of 17,315 per U.S. dollar on Thursday, as elevated oil prices due to the Iran war, and persistent fiscal and governance worries drive foreign investors away from the Southeast Asian country.
Emerging market Asian currencies were broadly weaker against the U.S. dollar: the Philippine peso slipped to 60.524 per dollar for the first time in more than two weeks, and the Thai baht fell to 32.44 per dollar, the lowest since April 8.
An MSCI gauge of global EM currencies inched lower to a seven-session low.
Asian countries, especially the net energy importers such as Indonesia, India, the Philippines and Thailand, have been hard hit by the Iran war as the closure of the Strait of Hormuz and uncertainty around the U.S.-Iran ceasefire have kept oil prices elevated for a prolonged period.
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