Ringgit Opens Lower Against the US Dollar Due to Better Greenback Demand | Money


At 9am, the local currency was trading at 4.1795 / 1825 against the greenback against 4.1715 / 1740 at yesterday’s close. – Photo by Hari Anggara

KUALA LUMPUR, Jan 4 – The ringgit opened lower against the US dollar today due to better demand for the greenback as US Treasury yields rose.

At 9am, the local currency was trading at 4.1795 / 1825 against the greenback against 4.1715 / 1740 at yesterday’s close.

Rising US yields are a sign that the US dollar may extend last year’s rally as markets anticipate the US Federal Reserve will begin a cycle of interest rate hikes this year, according to news reports.

However, the ringgit’s losses were limited by support from the strengthening of oil prices.

At the time of writing, Brent crude is trading 0.38 percent higher at US $ 79.38 (RM 331.86) per barrel.

On a different note, Moody’s Analytics, in its Asia Pacific Economic Preview report for the week of January 3-7, said the outlook for Malaysia’s export sector is expected to be positive in 2022, with trade poised to shift. bring the country back to pre-pandemic growth by mid-year.

However, he said the Omicron variant and extreme weather conditions can pose a risk to supply chains.

Meanwhile, the ringgit was trading mostly higher against a basket of other major currencies.

The local note gained against the Singapore dollar at 3.0879 / 0904 from yesterday’s close of 3.0917 / 0929, but fell slightly against the Japanese yen to 3.6230 / 6259 from 3.6220 / 6245.

It appreciated against the British Pound at 5.6331 / 6376 against 5.6414 / 6431 yesterday and strengthened against the Euro at 4.7255 / 7282 against 4.7363 / 7396. Bernama


Comments are closed.