The Ringgit Ends Slightly Higher Against the US Dollar | Money
KUALA LUMPUR, Feb. 9 – The ringgit ended slightly higher against the US dollar today on buying interest in line with the positive equity market performance, although the greenback remained firm before United States (US) inflation data later this week, dealers mentioned.
As of 6 p.m., the local rating was up slightly to 4.1825/1850 against the US dollar from 4.1835/1865 at yesterday’s close.
ActivTrades trader Dyogenes Rodrigues Diniz said the US dollar was tentatively gaining ground against the ringgit before retreating with low volatility in the market in recent days, largely due to tensions between the US and Russia.
Fundamental analysis suggests there’s a good chance the Federal Reserve will raise interest rates at the next meeting in March, which could boost the U.S. dollar over the medium to long term, he said. told Bernama.
Bank Islam Malaysia Bhd chief economist Mohd Afzanizam Abdul Rashid said the ringgit was mostly hovering around the RM4.18 level against the greenback, with Brent crude oil prices correcting slightly to around $90. US (RM 376) per barrel.
“The resumption of nuclear talks between the United States and Iran on February 8 had rekindled hopes that the economic sanction might be lifted at some point in the future.
“This may have driven the Brent price correction as oil supplies would increase going forward,” he said.
He added that the focus would now be on the US consumer price index, which is expected to rise further to 7.3% year-on-year in January based on consensus estimates of 7.0% in January. December and as such the US Dollar is likely to be well supported at this point.
Meanwhile, the ringgit was trading mostly lower against a basket of other major currencies.
It eased against the Singapore Dollar to 3.1148/1169 from yesterday’s close of 3.1106/1131 and slipped against the British Pound to 5.6765/6799 from 5.6691/6731.
The local unit depreciated against the euro at 4.7785/7814 against 4.7713/7747 yesterday but appreciated against the Japanese yen at 3.6250/6275 against 3.6258/6284 yesterday. — Bernama