Ringgit ends higher amid confidence in Malaysia’s economic fundamentals
Optimism over AI-related investments and expectations of sustained domestic growth supported the local currency, says analyst.
KUALA LUMPUR: The Malaysian ringgit ended the day stronger against the US dollar today, buoyed by confidence in the country's economic fundamentals. This buoyancy came despite the US dollar remaining firm ahead of the Federal Reserve's upcoming monetary policy decision. Bank Muamalat Malaysia Bhd chief economist Afzanizam Rashid attributed the ringgit's resilience to domestic factors, stating that it could act as a protective shield against external uncertainties.
Looking forward, Rashid noted that expectations regarding the potential normalization of the overnight policy rate could further bolster the local currency. However, he cautioned that near-term movements would be influenced by developments in US monetary policy and geopolitical risks. By 6 pm, the ringgit had climbed to 4.0745/4.0790 against the US dollar, up from yesterday's close of 4.0865/4.0900.
Additionally, the ringgit strengthened against other major currencies such as the British pound, Japanese yen, and euro, as well as many of its ASEAN counterparts, including the Singapore dollar, Indonesian rupiah, and Thai baht.
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.
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