Ringgit Weakens Against US Dollar Amid Fed Rate Hike Debate

The Malaysian ringgit ended lower against the US dollar on Friday as investors closely monitor the debate surrounding potential interest rate hikes in the United States.

This comes ahead of the Federal Open Market Committee meeting scheduled for September 15 and 16, where the US Federal Reserve (Fed) is expected to make a decision on interest rates.

The Fed has kept interest rates unchanged so far in 2026, but hawkish remarks by Fed Chair Kevin Warsh at the Jackson Hole symposium have increased expectations of a rate hike this month.

At 6 pm, the ringgit was quoted at 4.0425/0465 against the US dollar compared with Thursday's close of 4.0405/0445, according to Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid.