Ringgit Trades Range-Bound Ahead of Key US Data

The Malaysian ringgit is expected to trade within a narrow range against the US dollar next week as investors await key United States economic data for further clues on interest rates. Dr Mohd Afzanizam Abdul Rashid, chief economist at Bank Muamalat Malaysia Bhd, said attention will be on the US labour market, particularly the nonfarm payrolls report due on October 2.

The ringgit's performance is also being influenced by domestic political developments, with the Melaka state election among the key events being monitored. On a Friday-to-Friday basis, the local currency increased against the greenback to 4.0715/0765 from 4.0795/0840 a week earlier.

The ringgit appreciated versus several major currencies during the week, including the British pound, Japanese yen, and euro. However, it slipped slightly against the Philippine peso.