Ringgit Gains Against Major Currencies, Slips Slightly Against USD

The Malaysian ringgit started Thursday in a favorable position against major currencies but slipped slightly against the US dollar, according to market data.

This development occurred as the highly anticipated US consumer price index (CPI) showed a moderation in inflation rates from 3.5 per cent in June to 3.4 per cent in July.

Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid noted that this slight decrease is in line with consensus estimates, and the 10-year US Treasury yields fell below 4.70 per cent, suggesting a moderation of inflation premiums.

He also stated that concerns over the reopening of the Straits of Hormuz remain low, which could mean higher inflation risks are still visible.