Ringgit opens higher as greenback weakens amid AI investment concerns

The ringgit opened higher on October 23 as the US dollar weakened, driven by concerns over artificial intelligence (AI)-related investments. At 8 am, the currency rose to 4.0785/0855 against the greenback from the previous close of 4.0815/0850. Bank Muamalat Malaysia Bhd chief economist Mohd Afzanizam Abdul Rashid attributed the concerns to investors' doubts about AI investments generating timely returns, while also noting that the likelihood of a Federal Reserve interest rate hike is diminishing due to falling US Treasury yields.

Despite this positive movement, the ringgit is expected to maintain a narrow range as market sentiment remains defensive.

Brief written by urgent.news from Malay Mail's own syndicated text. Machine-written — may contain errors; check the original before relying on it.