The ringgit opened lower against the US dollar
February 23, 2024
At 9am, the ringgit eased to 4.7745/7800 against the US dollar from 4.7710/7800 on Thursday. - Decorative picturesThe ringgit opened lower against the US dollar
At 9am, the ringgit eased to 4.7745/7800 against the US dollar from 4.7710/7800 on Thursday. - Decorative pictures
KUALA LUMPUR: The ringgit opened lower against the US dollar as the United States (US) currency remained strong in an environment of resilient US economic data, said economists.
At 9am, the ringgit eased to 4.7745/7800 against the US dollar from 4.7710/7800 on Thursday.
Bank Muamalat Malaysia Bhd Chief Economist Mohd Afzanizam Abdul Rashid said US economic data continued to defy market expectations which could lead to continued support for the US dollar.
He said initial jobless claims were lower than expected at 201,000 last week compared to the consensus estimate of 217,000 while producer sentiment rose to 51.5 points in February, the second consecutive month above the 50-point mark.
"Accordingly, the ringgit is expected to remain low against the US dollar, being in the range of RM4.77 to RM4.78. Malaysia's Consumer Price Index (CPI) data will be released today with the consensus remaining stable at 1.6 percent in January, up slightly from 1.5 percent in the previous month.
"At 1.6 percent, the real interest rate is 1.4 percent which is still above the long-term average of 0.6 percent. Thus, the monetary policy stance can be seen as limited.
"Therefore, the scope for a higher Overnight Policy Rate (OPR) is limited," he told Bernama.
Meanwhile, the ringgit traded higher against a group of major currencies.
The local currency rose against the Japanese yen to 3.1735/1776 from 3.1764/1826 on Thursday, rose against the pound to 6.0431/0500 from 6.0468/0582 yesterday and was higher against the euro to 5.1670/1729 from 5.1775/1873 previously.
At the same time, the ringgit traded mixed compared to other ASEAN currencies.
It rose against the Thai baht to 13.2780/2999 from 13.3105/3404 on Thursday and rose against the Singapore dollar to 3.5554/5600 from 3.5578/5648 yesterday.
However, the local currency eased against the Indonesian rupiah to 306.2/306.7 from 305.9/306.7 on Thursday and lower against the Philippine peso to 8.57/8.58 from 8.56/8.58 yesterday.
