By Siti Noor Afera Abu
KUALA LUMPUR, July 24 (Bernama) -- The ringgit was slightly higher at the close today, despite the US dollar remaining fairly favourable against other major currencies, amid anticipation for the United States (US) interest rate cut, said an analyst.
At 6 pm, the ringgit inched up to 4.6705/6735 versus the US dollar from Tuesday’s closing of 4.6720/6745.
Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid said the ringgit was fairly stable around the 4.67 level.
He said Malaysia’s inflation rate in June 2024 was stable at 2.0 per cent, indicating that the impact of the diesel price hike on June 10 is fairly contained at the moment.
“Given that the balance of risks on inflation is tilted towards the upside, Bank Negara Malaysia is likely to keep its present monetary policy stance, which can be positive for the ringgit, as interest rates in the major economies, including the US, are skewed towards the downside,” he told Bernama.
Meanwhile, UOB Kay Hian Wealth Advisors head of investment research Mohd Sedek Jantan foresees market sentiment to improve with the upcoming release of the flash manufacturing purchasing managers’ index (PMI) figures for July tonight, the advance gross domestic product reading for the second quarter tomorrow and the latest personal consumption expenditures price index report on Friday.
Meanwhile, the local note traded mostly firmer against a basket of major currencies.
The ringgit appreciated against the British pound to 6.0291/0330 from 6.0320/0352 and increased vis-a-vis the euro to 5.0633/0665 from 5.0771/0798 but retreated versus the Japanese yen to 3.0173/0196 from 2.9958/9976 at Tuesday’s close.
The ringgit was mixed against ASEAN currencies.
It increased versus the Indonesian rupiah to 287.9/288.3 from 288.1/288.4 and edged up against the Singapore dollar to 3.4727/4752 from 3.4731/3752 at yesterday’s close.
However, the local currency depreciated vis-a-vis the Thai baht to 12.9133/9266 from 12.9004/9116 and was unchanged against the Philippine peso at 7.99/8.00 previously.
-- BERNAMA
