KUALA LUMPUR, July 1 — The ringgit closed higher against the United States (US) dollar today, supported by improved sentiment towards emerging market currencies amid a weaker greenback.
At 6pm, the local note rose to 4.1995/2005 versus the greenback from Monday’s close of 4.2060/2130.
SPI Asset Management managing partner Stephen Innes said the US dollar’s status as a default safe-haven currency is increasingly being reassessed, prompting investors to explore opportunities in regional currencies like the ringgit.
“The current low-volatility environment is encouraging greater risk appetite, particularly for emerging market currencies.
“Notably, the ringgit, often considered a regional laggard, is breaking through key technical resistance levels despite Malaysia offering comparatively lower yields than some other emerging market peers,” he told Bernama.
Innes added that in our region, the Korean won, Thai baht, and the ringgit were among the top performers.
At the close, the ringgit traded lower against a basket of major currencies.
Yesterday, it depreciated against the Japanese yen to 2.9351/9389 from 2.9156/9206, eased against the British pound to 5.7797/7866 from 5.7597/7693, and fell against the euro to 4.9566/9625 from 4.9290/9372.
The local note was traded mixed against its Asean counterparts.
It strengthened against the Indonesian rupiah to 258.9/259.4 from 259.0/259.5 and rose against the Philippine peso to 7.45/7.46 from 7.46/7.48 previously.
However, it shed vis-à-vis the Singapore dollar to 3.3015/3059 from 3.2986/3034 and shrank against the Thai baht to 12.9363/9585 from 12.9356/9627 yesterday.
— Bernama
