The ringgit closed lower against the US dollar
BERNAMA
August 14, 2023 20:19 MYT
At 6pm, the local currency eased to 4.6140/6175 against the US dollar's 4.5865/5895 last Friday. - File photo/Bernama
The ringgit closed lower against the US dollar
At 6pm, the local currency eased to 4.6140/6175 against the US dollar's 4.5865/5895 last Friday. - File photo/Bernama
KUALA LUMPUR: The ringgit closed lower against the US dollar on Monday in line with the weaker performance of regional currencies following the strengthening of the US dollar, said an economist.
At 6pm, the local currency eased to 4.6140/6175 against the US dollar's 4.5865/5895 last Friday.
Bank Muamalat Malaysia Bhd Head of Economics and Social Finance Mohd Afzanizam Abdul Rashid said investors had entered risk-averse mode as market participants scrutinized Chinese data that showed signs of weakness.
"Given the significant difference in monetary policy in China and the United States that suggests the former is leaning towards easing, this will make the US dollar more prominent.
"Therefore, the US dollar will be well supported in the near term," he told Bernama.
Meanwhile, SPI Asset Management Managing Partner Stephen Innes said the ringgit is more vulnerable to economic weakness and the Chinese yuan due to Malaysia's close trade relationship with China.
"Given the status quo results from post-election political risks, we think the weaker ringgit is related to China's economic problems," he said.
The ringgit is also trading lower against a group of major currencies.
It eased against the Japanese yen to 3.1832/1858 from 3.1712/1735 last Friday, down against the British pound to 5.8575/8619 from 5.8230/8268 and lower against the euro to 5.0519/0557 from 5.0351/0.384 previously.
In the meantime, the local unit was traded mixed compared to other Asean currencies.
The ringgit rose against the Indonesian rupiah to 301.2/301.6 from 301.3/301.6 last Friday and strengthened against the Philippine peso to 8.11/8.13 from 8.14/8.15.
However, it eased against the Singapore dollar to 3.4064/4095 from 3.3967/3991 at Friday's close and slipped against the Thai baht to 13.1173/1332 from 13.0737/0871 previously.
