Most Read
Most Commented
Read more like this
mk-logo
News
Ringgit to hover around 4.25 against US$

The ringgit is likely to hover around 4.25 against the US dollar next week, with external factors continuing to influence the local unit’s movement, a dealer said.

Inter-Pacific Research Sdn Bhd Head of Research Pong Teng Siew said the traders’ sentiments were expected to continue favouring the greenback on optimism of a potential interest rate hike in the world’s largest economy this year.

“Most people I think is looking at the US Federal Reserve’s meeting for the next big move in the foreign exchange market.

“But I don’t think they are going to raise the interest rate. They’ll keep talking about it and postpone any increase in interest rate and wait until next year to decide,” he said.

For the week-just-ended, the ringgit saw an uptrend against the US dollar, lifted by a rebound in crude oil prices which eased concerns over Malaysia’s falling oil and gas revenues as well as support from China.

Chinese Prime Minister Li Keqiang was quoted by state news agency Xinhua as saying that his government would buy more Malaysian government bonds to help stabilise the country’s financial markets.

Adding a fillip to the local market is the deal to sell 1MDB’s energy business to China General Nuclear Power Corporation for US$2.3 billion (about RM9.8 billion).

On a Friday-to-Friday basis, the ringgit advanced to 4.2550/2650 against the dollar from 4.2830/2880 last week.

The local unit rose against the Singapore dollar to 3.0177/0261 from 3.0311/0368 and appreciated against the yen to 3.4752/4842 from 3.4861/4913.

It improved against the British pound to 6.4157/4325 from 6.5363/6461 and strengthened against the euro to 4.5171/5294 from 4.5730/5800.

- Bernama

ADS