Ringgit Opens Higher Against Greenback

By Siti Noor Afera Abu

KUALA LUMPUR, Dec 27 (Bernama) -- The ringgit maintained its upward momentum and opened higher against the US dollar on Friday, despite the greenback's strength driven by expectations about the United States (US) administration’s trade policy.

At 8 am, the ringgit was trading at 4.4665/4715 against the greenback, up from 4.4670/4715 at Thursday's close.

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In anticipation of pre-trade conditions, a dealer expects the ringgit to trade within a tight range around current levels today, as global foreign exchange markets remain subdued due to the holiday season and the absence of significant macroeconomic data.

Market activity will likely remain muted before next week’s New Year holiday.

Meanwhile, UOB Kay Hian Wealth Advisors head of investment research Mohd Sedek Jantan said the local currency opened firmer, in line with the Asian Dollar Index, following the release of the US initial jobless claims data last night.

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"The data showed a continued decline, increasing the chances that the Federal Reserve may reduce the number of rate cuts expected in 2025, which would, in turn, weaken the US dollar," he told Bernama.

The ringgit opened mostly higher against other major currencies. 

It appreciated against the Japanese yen to 2.8310/8345 from Thursday’s close of 2.8373/8405 and firmed against the British pound to 5.5956/6019 from 5.5967/6023, but it fell vis-a-vis the euro to 4.6550/6602 from 4.6448/6495.

The local note performed mixed against most ASEAN currencies. 

It improved versus the Singapore dollar to 3.2868/2908 from 3.2875/2913 at the previous close but weakened against the Thai baht to 13.0779/1052 from 13.0340/0543.

It remained unchanged against the Indonesian rupiah at 275.8/276.3 and the Philippine peso at 7.70/7.71, maintaining the same previous levels.

-- BERNAMA