Ringgit Sinks Against USD Amid US Rate Hike Debates
The Malaysian ringgit ended lower against the US dollar on Friday as investors closely monitored the ongoing debate about interest rate hikes in the United States. The uncertainty surrounding the Federal Reserve's decision has increased expectations of a rate hike this month, particularly after hawkish remarks by Fed Chair Kevin Warsh at the Jackson Hole symposium.
Despite market uncertainties, Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid said the ringgit was fairly stable. The ringgit finished the day at 4.0425/0465 against the US dollar compared to Thursday's close of 4.0405/0445.
The local currency also weakened against several other major currencies, including the euro, British pound, and Japanese yen. However, it inched up against the Philippine peso and declined against the Singapore dollar.