Ringgit Ends Firmer Vs Greenback As Expectations Rise For US Interest Rate Cut

By Fatin Umairah Abdul Hamid

KUALA LUMPUR, Nov 28 (Bernama) -- The ringgit extended its gains to close marginally higher against the US dollar on Friday on the rising expectations for a cut in US interest rates in December.

At 6 pm, the ringgit climbed to 4.1300/1350 against the greenback from yesterday’s close of 4.1305/1345.

Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid said the US Federal Reserve’s (Fed) interest rate decision in December, with the odds of a 25-basis-point cut standing at more than 80 per cent, remains a key factor influencing the currency.

“As such, the ringgit continues to hover around RM4.12 to RM4.13 against the US dollar, while the US Dollar Index (DXY) remains below 100 points,” he told Bernama.

At the close, the ringgit trended mostly higher against major currencies.

It firmed against the British pound to 5.4528/4594 from 5.4576/4629 and rose against the euro to 4.7768/7825 from 4.7823/7869. However, it dipped against the yen to 2.6420/6456 from 2.6417/6444 at Thursday’s close.

The local note traded mixed against ASEAN currencies.

It was slightly higher against the Singapore dollar at 3.1813/1857 from 3.1817/1850 at yesterday’s close and strengthened against the Indonesian rupiah to 247.6/248.0 from 248.3/248.6.

But it depreciated against the Thai baht to 12.8245/8472 from 12.8097/8285 and fell against the Philippine peso to 7.04/7.06 from 7.02/7.04.

-- BERNAMA