Ringgit opens lower against major currencies, US dollar

The Malaysian ringgit began the day on a weaker note against the US dollar on Wednesday, as negative US consumer data dampened investor sentiment and dampened risk appetite in the foreign exchange market. At 8:02 am local time, the ringgit slipped to 4.0795/0850 against the greenback, a decline from Tuesday's close of 4.0790/0850.

Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam attributed the drop to the Conference Board's Confidence Index, which plummeted by 81.9 points in September, marking the lowest level since April 2014. He noted that the survey indicated most Americans linked high costs of goods and services, particularly oil and gas prices, to their gloomy outlook.

Afzanizam also highlighted that the Job Openings and Labour Turnover Survey (JOLTS), released in August, showed a lower figure of 7.079 million, falling short of the estimated 7.23 million. This downward trend has persisted since April of this year. Meanwhile, the US Dollar Index (DXY) climbed 0.17 percent to 101.372 points, reflecting the Federal Reserve's continued hawkish stance on monetary policy.

Throughout the morning, the ringgit traded weaker against a range of major currencies, including the euro (4.6257/6320), British pound (5.3960/4032), Japanese yen (2.5921/5958), Singapore dollar (3.1921/1969), and Thai baht (12.1540/1759). It remained relatively stable against the Indonesian rupiah (226.9/227.2) and the Philippine peso (6.52/6.53).