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Malay Mail
5 days ago
- Business
- Malay Mail
Ringgit inches up against dollar as weak US data shakes confidence
KUALA LUMPUR, June 5 — The ringgit opens marginally higher against the US dollar on Thursday, amid weaker-than-expected United States (US) economic data and tariff uncertainties, an analyst said. At 8am, the local note inched up to 4.2410/2495 versus the greenback from Wednesday's close of 4.2435/2490. Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid said the US Dollar Index (DXY) was down by 0.44 per cent to 98.787 points, as economic indicators surprised on the downside. He said the US Institute for Supply Management (ISM) Index for the services sector fell below the 50-point demarcation line to 49.9 in May, defying consensus estimates of 52.0 points. 'Based on the survey response by the ISM, import tariff was the major source of uncertainties among businesses as it has raised the raw material prices, and some suppliers are holding back inventory given the tariff uncertainties. 'This may lead to stronger emerging market currencies, including as the traders and investors would be reassessing the strength of the US economy, and therefore, Friday's Nonfarm Payroll will be another important barometer to look at,' he told Bernama. He also noted that the upcoming Federal Open Market Committee meeting on June 16-17 would be another critical milestone, as the US Federal Reserve staff will issue their latest macroeconomic forecast for the next three years. At the opening, the ringgit traded lower against a basket of major currencies. It slid against the Japanese yen to 2.9705/9767 from Wednesday's close of 2.9444/9486, fell vis-a-vis the euro to 4.8428/8525 from 4.8300/8362, and depreciated against the British pound to 5.7466/7581 from 5.7427/7502 previously. The local note also traded mostly lower against its Asean peers. It traded flat versus the Philippine peso at 7.60/7.62, unchanged from its close on Wednesday. However, the ringgit declined against the Singapore dollar to 3.2973/304 from 3.2906/2951 on yesterday's close, weakened versus the Thai baht to 13.0132/0493 from 12.9679/9911, and eased versus the Indonesian rupiah at 260.2/260.8 compared to 260.4/260.8 previously. — Bernama
Malay Mail
26-05-2025
- Business
- Malay Mail
Ringgit strengthens against US dollar as market reacts to Trump's tariff delay, fiscal concerns
KUALA LUMPUR, May 26 — The ringgit continued its upward momentum to close higher against the United States (US) dollar today as sudden shifts in US trade policies and growing concerns over the US fiscal policy pushed the US dollar index (DXY) lower. At 6pm, the local note rose to 4.2155/2220 versus the US dollar from last Friday's close of 4.2285/2345. Meanwhile, US President Donald Trump's decision to postpone the planned 50 per cent tariffs on European Union (EU) goods to July 9 gave both sides more time to reach a deal. Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid said concerns over the US economy are gaining traction as higher US Treasury yields would likely significantly impact the US economy. 'The next thing to watch is whether the 'One Big Beautiful Bill', which is seen as likely to result in a wider fiscal deficit, will be passed by the US Senate. 'For now, the view of US fiscal position is rather negative as reflected by the rise in US Treasury yields and the US dollar outlook,' he told Bernama. The ringgit traded mostly lower against a basket of major currencies at the close. It gained vis-à-vis the euro to 4.7972/8046 from 4.7985/8053 last Friday. However, it fell against the British pound to 5.7175/7263 from 5.7072/7153 and slid marginally versus the Japanese yen to 2.9506/9553 from 2.9502/9546. The local note, however, traded higher against its Asean peers. It improved against the Singapore dollar to 3.2826/2879 from 3.2891/2940 last Friday, strengthened against the Thai baht to 12.9231/9466 from 12.9744/13.0012, and advanced vis-à-vis the Philippine peso to 7.60/7.62 from 7.65/7.66. The ringgit also rose against the Indonesian rupiah to 259.4/259.9 from 260.7/261.1. — Bernama
Malay Mail
26-05-2025
- Business
- Malay Mail
Ringgit rallies on US tariff turmoil, opens stronger at 4.21
KUALA LUMPUR, May 26 — The ringgit continued to strengthen against the US dollar at the opening today, driven by the tariff shocks which is expected to take a negative toll on the US economy, an analyst said. At 8.04 am, the local note rose to 4.2100/2410 versus the greenback from Friday's close of 4.2285/2345. Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid said the recent legislation passed by the House of Representatives involving tax cut measures are set to increase the fiscal deficit and government debt level. — Bernama
Malay Mail
22-05-2025
- Business
- Malay Mail
Ringgit ends lower on stronger US dollar after ratings cut sparks investor caution
KUALA LUMPUR, May 22 — The ringgit ended lower against the US dollar today due to a stronger US Dollar Index (DXY) after the Moody's Ratings downgrade. At 6pm, the local note eased to 4.2705/2765 versus the US dollar from yesterday's close of 4.2685/2735. Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid said the ringgit maintained its positive trend in the morning session when the USD/MYR touched as low as RM4.2455 before weakening by the end of the day. 'The DXY has been lingering below 100 points as fear over fiscal burden has resulted in traders and investors shunning the US dollar. "The recent rating downgrade by Moody's Ratings has compounded the effect as the new US administration is pushing for a tax cut bill that could worsen the US government debt level,' he told Bernama. At the close, the ringgit traded mostly higher against a basket of major currencies. It inched up against the British pound to 5.7212/7292 from 5.7241/7308, and appreciated vis-à-vis the euro to 4.8218/8286 from yesterday's 4.8379/8436, but fell versus the Japanese yen to 2.9768/9812 from yesterday's 2.9642/9679. The local note traded mixed against its Asean peers. It improved against the Singapore dollar to 3.3061/3110 from 3.3071/3115, and strengthened against the Thai baht to 13.0000/0254 from yesterday's 13.0121/0353. However, the ringgit went down vis-à-vis the Philippine peso to 7.68/7.69 from 7.67/7.68 yesterday and slipped against the Indonesian rupiah to 261.5/262.0 from 260.2/260.7 previously. — Bernama
Malay Mail
19-05-2025
- Business
- Malay Mail
Ringgit opens stronger against US dollar after Moody's downgrade of US credit rating
KUALA LUMPUR, May 19 — The ringgit opened higher today against the US dollar buoyed by Moody's Ratings recent downgrade of the US credit rating on concerns over rising debt. At 8.03 am, the local note appreciated to 4.2850/3140 versus the greenback from last Friday's close of 4.2900/2980. Moody's Ratings has downgraded the US sovereign rating by one notch to Aa1 from AAA last Friday. Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid said the main premise for such a move was the US government debt which would likely increase and its fiscal deficits would deteriorate. 'However, the credit rating agency continued to acknowledge the special status of the US dollar as the global reserve currency. 'On that note, the US Dollar Index (DXY) could fall from a knee-jerk reaction,' he told Bernama. Hence, he expected the local note and other emerging market currencies to appreciate against the US dollar today. At the opening, the ringgit traded mostly lower against a basket of major currencies. It rose vis-a-vis the euro to 4.7495/8269 from 4.8022/8112 at last Friday's close, but slid against the British pound to 5.7020/7406 from 5.7018/7125 and edged down versus the Japanese yen to 2.9509/9711 from 2.9470/9527 previously. However, the local note was traded mostly higher against its Asean peers. It climbed versus the Singapore dollar to 3.3010/3236 from 3.3041/3105 last Friday, gained against the Philippine peso to 7.70/7.75 from 7.71/7.73 and also strengthened against the Indonesian rupiah at 260.5/262.4 from 260.8/261.5 at the previous close. The ringgit fell against the Thai baht to 12.9024/13.0026 from 12.9003/9318 previously. — Bernama
