SINGAPORE. July • 6: Concern over the health of Indonesian President Suharto drove the rupiah lower against the US dollar and sent Indonesian stocks tumbling, dealers and analysts said, reports AFP.

The dollar was changing hands at 2,342-2,344 rupiah in late afternoon trading after opening at 2.335 in Singapore, Asia's leading trading centre for regional currencies, dealers said.

Basically we think the health issue has made quote a number of local bank operators reverse their bullish attitude (towards the rupiah).' said Daniel Lian, regional economist for Natwest Markets in Singapore.

A perception that the rupiah was undervalued and that economic overheating was under control had helped induce speculative capital into Indonesia, but those factors were overwhelmed by jitters over the health of Suharto, he said.

All the good news on the rupiah is out." Lian said." The health issue has made the market focus on the negative factors such as the succession issut." ■ : 1 ! ■ .- 1

A flurry of spot dollar-rupiah buying Thursday by foreign speculators, especially from Singapore and London, pushed the rupiah-dollar rate to 2.338 at close of trading here yesterday from an opening level of 2.326.

Indonesia's State Secretary Murdiono confirmed Friday that Suharto would leave Sun day for a undisclosed European destination for a medical check up