The ringgit opened marginally higher against the US dollar on Tuesday, despite continued support for the greenback from expectations of higher US interest rates.
At 8am, the ringgit stood at 4.0835/4.0895 against the US dollar, compared with Monday’s closing rate of 4.0845/4.0890.
Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid said the US Dollar Index (DXY) rose 0.23% to 102.167 points, reflecting the greenback’s strengthening momentum.
“As such, the ringgit is likely to remain within a narrow trading range,” he told Bernama.
He said the US dollar was also supported by stronger demand as some investors shifted towards safer assets amid continued global uncertainty.
Against other major currencies, the ringgit opened higher against the Japanese yen at 2.5847/2.5886 from 2.5858/2.5886 on Monday.
It also strengthened against the British pound to 5.3976/5.4055 from 5.4022/5.4081.
However, the local currency weakened against the euro to 4.5805/4.5872 from 4.5775/4.5825 previously.
The ringgit traded mixed against other Southeast Asian currencies.
It strengthened against the Thai baht to 12.1151/12.1390 from 12.1234/12.1411, but eased against the Singapore dollar to 3.1907/3.1957 from 3.1905/3.1943.
The local currency was unchanged against the Philippine peso at 6.52/6.53 and the Indonesian rupiah at 227.9/228.3.
