Ringgit Gains Against Dollar But Falters vs Euro and Pound

The Malaysian ringgit has gained against the US dollar but retreated against other major currencies. It ended slightly higher at 4.0785/0820 against the greenback from Tuesday's close of 4.0790/0850, due to expectations that the US Federal Reserve (Fed) may hold off on raising interest rates next month.

Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid said recent US data points suggest that the Fed might skip a rate hike next month. He noted that weaker consumer sentiment could weigh on household spending, which accounts for about two-thirds of the US economy.

The ringgit traded lower against a basket of major currencies, falling to 4.6324/6363 against the euro from 4.6235/6303 at Tuesday's close, and losing ground against the British pound to 5.4162/4209 from 5.3937/4016.