Ringgit opens lower against US dollar

THE ringgit traded lower against the US dollar in early trade on a lack of buying interest as the US Dollar Index (DXY) rebounded after recent losses by the greenback.

At 9.05 am, the ringgit weakened to 4.7140/7190 versus the greenback from Thursday’s close of 4.7070/7110.

Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid noted that DXY surpassed 105 points as traders were bearish on the euro currency due to heightened concerns about the French election.

“On that note, USD/MYR should remain in a narrow range,” he told Bernama.

Mohd Afzanizam noted that the United States Federal Reserve’s shift towards promoting economic growth may become more apparent in the second half of 2024 as incoming data is expected to be increasingly weaker amid an ongoing disinflationary trend.

“Therefore, the positive outlook for the ringgit in the latter half of the year remains,” he said.

The local unit fell versus the Japanese yen to 2.9982/3.0015 from Thursday’s close of 2.9945/9972 but rose against the euro to 5.0610/0663 from 5.0840/0884 and appreciated vis-a-vis the British pound to 6.0104/0167 from 6.0160/0211 previously.

Meanwhile, the ringgit traded mixed against its ASEAN peers. 

The local note was marginally lower vis-a-vis the Indonesian rupiah to 289.6/290.1 from 289.2/289.6 at Thursday’s close and was weaker against the Philippine peso at 8.04/8.05 from 8.03/8.04 previously. 

However, it rose against the Singapore dollar to 3.4880/4919 from 3.4887/4920 and went up versus the Thai baht to 12.8185/8370  from 12.8386/8540. — BERNAMA / pic BLOOMBERG