Ringgit Opens Slightly Higher Amid US Tariff Watch
Market Commentary
The ringgit opened marginally higher against the US dollar this morning with further attempts expected to break below the RM4.40 level as traders and investors observe the next move in respect to US tariffs.
Exchange Rates
At 8am, the ringgit strengthened to 4.4060/4.4275 from 4.4080/4.4110 at yesterday’s close.
Market Insights
Bank Muamalat Malaysia Bhd chief economist Afzanizam Rashid noted that the tariff imposition appears to be a measured rather than broad-based approach, which the market may find acceptable to maintain a risk-on sentiment.
“However, market conditions remain fluid, and a tougher stance on tariffs by the US could quickly shift sentiment towards risk aversion,” he added.
Currency Performance
The ringgit was traded higher against major currencies. It rose against the Japanese yen to 2.9387/2.9532 from 2.9471/2.9495, strengthened against the British pound to 5.5591/5.5862 from 5.5704/5.5742, and rose against the euro to 4.6096/4.6321 from 4.6156/4.6188.
Asean Currencies
The ringgit was also trend positive against Asean currencies. It appreciated against the Singapore dollar to 3.2895/3.3061 from 3.2950/3.2975, improved against the Thai baht at 13.1338/13.2046 from 13.1508/13.1672 at yesterday’s close.
Other Currencies
The local note was almost flat against the Indonesian rupiah at 270.6/272.1 from 270.7/271.1 chalked up at yesterday’s closing and was almost unchanged against the Philippine peso at 7.62/7.66 compared to yesterday’s 7.62/7.63.
Conclusion
The ringgit opened marginally higher amid US tariff concerns, with further attempts expected to break below the RM4.40 level. Market conditions remain fluid, and a tougher stance on tariffs could shift sentiment towards risk aversion.
FAQs
* What is the current exchange rate of the ringgit against the US dollar?
The ringgit is currently trading at 4.4060/4.4275.
* How does the ringgit perform against other major currencies?
The ringgit is stronger against the Japanese yen, British pound, and euro, and is trend positive against Asean currencies.
* What is the current trend in the ringgit’s performance against other currencies?
The ringgit is almost flat against the Indonesian rupiah and Philippine peso.