Ringgit edge up as dollar demand weakens
(Kuala Lumpur, 9th): The latest number of jobless claims in the United States rose, and the US labor market cooled, and the market responded to risk aversion.Dollarweakening demand,ringgitIt was slightly higher in early trade.
According to “Bloomberg”, the exchange rate of the Malaysian ringgit against the US dollar opened at 4.3980 on Friday, and then strengthened to 4.3885. As of 11 am, it was reported at 4.3990, compared with Thursday’s closing price of 4.3960.
Stephen Ines, managing director of SPI Asset Management, pointed out that the cooling of the US labor market and the possibility of a soft landing for the US economy are quite positive for risk sentiment. In addition, regional currencies can continue to rise with the help of China’s restart, and the Malaysian Ringgit is expected to become one of the rapidly rising Asian currencies in 2023.
ActivTrades trader Dinis pointed out that the market is waiting for the latest monetary policy decisions of the US Federal Reserve and the European Central Bank to determine the direction of the market. Hence, in the absence of direction, MYR/USD has barely moved.
According to “Bloomberg”, the ringgit was generally lower against a basket of major currencies, with the ringgit falling to 3.2571 against the Singapore dollar from 3.2381 yesterday (Thursday).