Ringgit Opens Higher Against Major Currencies, Flat vs US Dollar

By Engku Shariful Azni Engku Ab Latif and Nur Athirah Mohd Shaharuddin 

KUALA LUMPUR, July 22 (Bernama) -- The ringgit opened higher against major currencies on Wednesday but was almost flat against the US dollar as traders adopted a cautious stance amid uncertainties over the conflict in West Asia.

At 8 am, the local currency was nearly unchanged at 4.0870/0920 versus the greenback, compared with 4.0870/0910 at yesterday's close.

Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid said the uncertainty surrounding peace deal negotiations continued to take centre stage as the United States (US) and Iran exchanged attacks for a tenth day.

“The yields on the two- and 10-year US Treasury notes rose by five and four basis points to 4.26 per cent and 4.63 per cent, respectively, as expectations of a US interest rate hike gathered momentum.

“In light of the prevailing conditions in West Asia, traders are expected to take a cautious stance. As such, the ringgit is expected to trade around RM4.08 to RM4.10 today,” he told Bernama.

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

It appreciated vis-a-vis the euro to 4.6596/6653 from 4.6682/6727 at Tuesday’s close, strengthened against the Japanese yen to 2.5046/5078 from 2.5123/5148 and rose versus the British pound to 5.4676/4743  from 5.4868/4922 previously.

The local note traded mixed against regional currencies.

It rose versus the Singapore dollar to 3.1631/1672  from 3.1682/1716 and advanced vis-a-vis the Thai baht to 12.1139/1352 from 12.1420/1579 at yesterday’s close.

However, the ringgit was flat against the Indonesian rupiah and the Philippine peso at 228.4/228.8 and 6.62/6.63, respectively. 

-- BERNAMA