Ringgit Strengthens Against Dollar Amid Hike Expectations

The Ringgit opened higher against the US dollar on September 9 as the greenback weakened in anticipation of potential interest rate hikes in both the United States and Japan.

According to Bank Muamalat Malaysia Bhd chief economist Dr. Mohd Afzanizam Abdul Rashid, higher US Treasury yields suggest that the Federal Reserve could opt for a higher benchmark interest rate when the Federal Open Market Committee (FOMC) meets on September 15-16.

The US Treasury notes auction for three-month and six-month bills yielded higher at 3.80 per cent and 3.89 per cent, respectively.