The ringgit opens higher at RM4.1865/USD as markets await Bank Negara’s OPR decision, with economists expecting rates to remain at 2.75%.
KUALA LUMPUR: The ringgit strengthened against the US dollar in early trading as markets awaited Bank Negara Malaysia’s overnight policy rate decision later today.
The local currency opened at RM4.1865/1985 against the greenback compared to Wednesday’s close of RM4.1890/1925.
This follows yesterday’s 0.14% gain as investor attention focuses on the central bank’s monetary policy committee meeting.
Bank Muamalat Malaysia chief economist Dr Mohd Afzanizam Abdul Rashid expects the OPR to remain at 2.75% given Malaysia’s resilient economic performance.
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“Malaysia’s third quarter GDP growth of 5.2% reflects the economy’s underlying strength,” he said.
He projected the US dollar-ringgit pair would hover around the RM4.19 level throughout the trading session.
Local market sentiment remains positive despite the US Dollar Index holding around 100 points.
Mohd Afzanizam noted improving US services sector sentiment and private sector job creation as encouraging indicators.
“However, government shutdown concerns and tariff increases continue to weigh on business confidence,” he added.
The ringgit traded mixed against other major currencies at opening.
It weakened slightly against the British pound to RM5.4642/4799 from RM5.4612/4658.
The local currency also dipped against the euro to RM4.8124/8262 from RM4.8106/8147.
However, it gained against the Japanese yen to RM2.7116/7245 from RM2.7254/7279.
Against ASEAN currencies, the ringgit showed varied performance.
It strengthened against the Singapore dollar to RM3.2039/2133 from RM3.2055/2085.
The local note also rose against the Philippine peso to RM7.11/7.14 from RM7.12/7.13.
It declined against the Thai baht to RM12.8776/9244 from RM12.8730/8893.
The ringgit remained largely unchanged against the Indonesian rupiah at RM250.4/251.2. – Bernama
