Ringgit opens higher against major currencies, slightly lower vs US dollar
The local note eased to 4.0835/4.0910 against the US dollar as stronger US economic data and expectations of further interest rate hikes supported the greenback.
KUALA LUMPUR: The Malaysian ringgit opened stronger against key currencies on Thursday, though it dipped marginally versus the US dollar, buoyed by robust US economic indicators and anticipated interest rate increases from the Federal Reserve (Fed). By 8am, the ringgit slipped to 4.0835-4.0910 against the greenback, down from yesterday's close of 4.0780-4.0825.
Bank Muamalat Malaysia Bhd chief economist Afzanizam Rashid attributed the dollar's strength to expectations of additional Fed rate hikes this year, which lifted the US Dollar Index (DXY) by 0.49% to 101.096. Meanwhile, a surge in US business confidence and the PMI Output Index's rise to 58.4 points in September further bolstered the greenback.
Afzanizam also noted that US Treasury yields surged 14 and 15 basis points to 4.85% and 5.11%, respectively. Consequently, he predicted the ringgit would range between RM4.08 and RM4.10 against the US dollar throughout the day. The local currency exhibited mixed performance against regional peers, appreciating against the Singapore dollar and Thai baht, while weakening against the Indonesian rupiah and remaining flat versus the Philippine peso.
Written by urgent.news from Free Malaysia Today's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
Also reported by 1 other outlet
- Ringgit opens higher against major currencies, slightly lower vs US dollar freemalaysiatoday.com
