Ringgit appreciates against US dollar

THE ringgit closed higher against the US dollar today following signs that Chinese officials are preparing to unwind the nation’s zero-Covid-19 policy.

At 6pm, the local note rose to 4.5925/5980 against the US dollar from last Friday’s close of 4.6200/6250.

Asset Management MD Stephen Innes said policy action in China finally shows the potential to move the market and will continue to support the local note going forward.

“President Xi Jinping’s tighter grip on power and the dire situation of the economy has finally reached a point where policy responds. 

“China’s more progressive policy evolution related to loosening Covid-19 restrictions and measures to support the real estate market is helping drive ringgit demand,” Innes told Bernama.

Meanwhile, the ringgit was traded higher against a basket of major currencies. 

It rose against the Singapore dollar to 3.3405/3450 from 3.3527/3568 last Friday and increased vis-a-vis the euro to 4.7381/7438 from 4.7471/7522.

The local currency improved against the Japanese yen to 3.2738/2782 from 3.3047/3088 at last Friday’s close and advanced versus the British pound to 5.4187/4252 from 5.4322/4381 previously. ― Bernama