Ringgit Strengthens Against Majors Amid Weaker US Rate Hike Odds
The Malaysian ringgit has strengthened against major currencies, but its movement against the US dollar remains relatively unchanged. According to Bank Muamalat Malaysia Bhd chief economist Mohd Afzanizam Abdul Rashid, the likelihood of a US interest rate hike in September has decreased, which could support emerging market currencies, including the ringgit.
The local currency is currently trading at 4.0585/0675 against the greenback, slightly higher than Monday's close of 4.0585/0630. Mohd Afzanizam Abdul Rashid expects the ringgit to oscillate between 4.06 and 4.08 against the US dollar today.
The ringgit has also strengthened against other major currencies, including the Japanese yen, British pound, and euro. However, its movement against regional currencies is more mixed, with some currencies experiencing a slight increase in value.