The Indonesian rupiah hovered around IDR 16,850 per dollar on Monday, extending its decline to a seventh straight session and staying at its weakest level since late April 2025. Sentiment remained fragile on bets of renewed monetary easing, with the central bank seeking to support growth as inflation stays within target despite a modest pickup in December, after a cumulative 150-basis-point rate cut between September 2024 and September 2025. Adding to the cautious tone, consumer sentiment slipped in December after reaching a nine-month high previously, despite solid retail sales growth in November. Still, downside pressure on the rupiah was capped by Indonesia’s stronger external position, with forex reserves hitting a nine-month top in December. On the global front, the dollar index eased to around 98.9 after four sessions of gains, as traders weighed reports that US federal prosecutors had opened a criminal probe related to Senate testimony concerning Fed building renovations.