Ringgit lower at opening

KUALA LUMPUR: The ringgit was slightly lower against the US dollar this morning on weaker demand for the local note, amid renewed concerns over interest rate increases by the US Federal Reserve (Fed).

At 9.05am, the ringgit was traded at 4.1790/1830 versus the greenback from 4.1770/1810 at yesterday’s closing.

Oanda Head of Trading Asia-Pacific, Stephen Innes said although the Fed had signalled that it might slow down the pace of rate increases next year, traders were still cautious.

“Further interest rates hike are still possible and will have a negative impact on the local note,“ he said.

The Fed decided on Wednesday to raise the interest rate by 25 basis points.

Innes said global equity markets remained shaky, which it made even worse for the ringgit.

Meanwhile, the local note traded higher against other major currencies.

It inched up against the Singapore dollar to 3.0453/0493 from 3.0498/0543 on Wednesday and strengthened against the yen to 3.7127/7172 from 3.7172/7217.

The local note rose against the British pound to 5.2747/2806 from 5.2852/2915 and was marginally higher against the euro at 4.7565/7615 from 4.7568/7622. — Bernama

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