Ringgit easier against US dollar in early trade

KUALA LUMPUR: The ringgit opened lower against the greenback as the US dollar strengthened on news that the US Federal Reserve will shrink its balance sheet through quantitative tightening.
It declined to 4.2060/2100, in early trade, from yesterday's close of 4.2020/2070.
A foreign exchange dealer said the escalating war of words between North Korea and the United States coupled with whether the Federal Reserve (Fed) can hike interest rates in December weighed heavily on market sentiment.
The market's immediate focus will be on the views to be expressed by US Fed Chair Janet Yellen, who is due to speak later today in Cleveland on inflation, uncertainty and monetary policy.
The local currency was weaker against the Japanese yen at 3.7675/7717 from 3.7491/7549 and lower against the Singapore dollar at 3.1126/1164 from 3.1112/1161.
Against the Euro, the ringgit was, however, firmer at 4.9862/9914 from 4.9941/9013 yesterday and higher against the British pound at 5.6676/6742 from 5.6832/6908 on Monday. – Bernama