The ringgit opened stronger, projected to be RM4.50 against the US dollar by the end of the year
Mac 21, 2024
At 9 this morning, the ringgit rose to 4.7070/7105 against the US dollar from 4.7335/7400 at the end of yesterday's trading. -Decorative picture/Name
The ringgit opened stronger, projected to be RM4.50 against the US dollar by the end of the year
At 9 this morning, the ringgit rose to 4.7070/7105 against the US dollar from 4.7335/7400 at the end of yesterday's trading. -Decorative picture/Name
KUALA LUMPUR: The ringgit started trading on Thursday by strengthening against the United States (US) dollar, driven by the decision of the Federal Open Market Committee of the developed country to maintain the main interest rate at 5.50 percent.
At 9 this morning, the ringgit rose to 4.7070/7105 against the US dollar from 4.7335/7400 at the end of yesterday's trading.
Bank Muamalat Malaysia Bhd Chief Economist Mohd Afzanizam Abdul Rashid said the FOMC's decision showed that both US businesses and consumers are experiencing debt repayment challenges that could potentially affect their respective repayments if not addressed immediately.
"Therefore, a reduction in the Federal Funds Rate (FFR) is appropriate and can depreciate the value of the US dollar and on the other hand can increase the value of the ringgit.
"Following that, we reiterate the projection that the ringgit exchange rate will reach RM4.50 against the US dollar by the end of this year," he told Bernama.
Meanwhile, the ringgit is trading low compared to other major currencies.
The local unit was lower against the Japanese yen to 3.1261/1287 from 3.1207/1252; eased against the euro to 5.1466/1505 from 5.1306/1377 previously and fell against the British pound to 6.0226/0271 from 6.0082/0165.
The ringgit, however, traded mostly higher against the Asean currencies, rising against the Singapore dollar to 3.5169/5198 from Wednesday's 3.5204/5255.
It also strengthened against the Philippine peso to 8.40/8.42 from 8.43/8.45 and strengthened against the Indonesian rupiah at 299.3/299.6 from 301.0/301.5 but was lower against the Thai baht at 13.0997/1146 from 13.0821/1048, yesterday.
