Ringgit Trades Cautiously Ahead of US Federal Reserve Decision

The ringgit closed higher against most major currencies on Wednesday except for the US dollar. The local currency's performance was cautious due to anticipation of the US Federal Reserve's interest rate decision, scheduled for July 28-29.

Afzanizam Abdul Rashid, chief economist at Bank Muamalat Malaysia Bhd, said market participants are awaiting the outcome of the Fed's meeting. 'Markets are anxious to see the Fed's latest assessment of the American economy, as well as its guidance on the US interest rate outlook,' he stated.

The ringgit traded lower against the US dollar at 4.0885/4.0930, down from yesterday's close of 4.0835/4.0875. Despite this, it strengthened against other major currencies such as the Japanese yen, euro, and British pound.