Ringgit slightly up versus US dollar despite market uncertainty

The uncertainties around the Fed’s terminal rate and global recession continue to influence the broader markets

THE ringgit opened slightly higher against the US dollar today despite market uncertainty over the US Federal Reserve’s (Fed) upcoming interest rate decision, dealers said.

At 9am, the local note appreciated to 4.4040/4100 versus the greenback from yesterday’s closing of 4.4050/4084.

SPI Asset Management MD Stephen Innes told Bernama that going into the new year, the old problems continued to influence the broader markets, specifically uncertainties around the Fed’s terminal rate and whether the world would fall into a recession.

“Hence, the ringgit opened marginally higher today, given the risk-off impulses from the US market with lower stock and bond yields,” he said.

Meanwhile, the ringgit traded mostly lower against a basket of major currencies.

It fell against the British pound to 5.2800/2871 from yesterday’s closing of 5.2538/2579, depreciated against the euro to 4.6497/6561 from 4.6460/6495 previously and weakened versus the Singapore dollar to 3.2773/2822 from 3.2768/2798.

However, the ringgit rose vis-a-vis the Japanese yen to 3.3616/3667 from yesterday’s 3.3755/3786. — Bernama