Ringgit rises for 10th consecutive day, trades near seven-week high against US dollar

The Malaysian ringgit has risen for the 10th consecutive day, trading close to a seven-week high against the US dollar. Opening at 4.0570/0625 at 8 am, the local currency marked a slight gain from yesterday's closing rate of 4.0575/0620. This surge follows a prior opening level of 4.0560 set on September 9, 2026.

Bank Muamalat Malaysia Bhd chief economist Mohd Afzanizam Abdul Rashid attributed the currency's strength to a dip in the US Dollar Index (DXY), which fell by 0.33 percent to 101.854 points. Despite stronger-than-anticipated US third-quarter GDP growth and a higher personal consumption expenditure (PCE) inflation rate in September, the two-year and 10-year US Treasury yields also decreased by 10 and eight basis points to 4.60 percent and 4.94 percent, respectively.

These factors suggest the Federal Reserve (Fed) may alter its monetary policy stance, leading to a continued positive trend for the ringgit in the short term due to limited room for further Fed tightening. The currency pair may thus oscillate within the RM4.05 to RM4.07 range today.

Against other major currencies, the ringgit experienced a decline compared to the British pound, slipping to 5.4275/4348 from 5.4009/4069 on Thursday. It also weakened against the euro, moving to 4.5365/5427 from 4.5176/5226. The Japanese yen saw a similar marginal decrease, with the ringgit trading at 2.5707/5743 from 2.5685/5715.

Additionally, the ringgit showed mixed performance against ASEAN peers, remaining stable against the Indonesian rupiah but weakening against the Philippine peso and falling against the Singapore dollar.