Ringgit slips against US dollar but gains against major currencies

The ringgit stood at 4.0850/0895 per US dollar at 6 pm on Oct 7, weakening from 4.0835/0880 at Tuesday’s close. It nevertheless recorded gains against the yen, pound and euro, while performance against ASEAN currencies was mixed.

Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid attributed the dollar’s strength to concerns about Europe’s fiscal trajectory. He said the US Dollar Index (DXY) reached 102.26 points after rising 0.42 per cent. The euro, which has the biggest weighting in the index, fell 0.69 per cent to 1.1181 against the dollar.

He told Bernama that ringgit-dollar trading remained within a narrow band, ranging between RM4.0840 and RM4.0885. Closing rates against the other major currencies showed gains for the ringgit:

• Japanese yen: 2.5797/5827, compared with Tuesday’s 2.5807/5837.
• British pound: 5.4049/4108, compared with 5.4066/4125.
• Euro: 4.5740/5790, compared with 4.5907/5957.

Among ASEAN currencies, the ringgit strengthened against the Singapore dollar and Thai baht but lost ground against the Philippine peso and Indonesian rupiah. The closing comparisons were:

• Singapore dollar: 3.1919/1957, compared with Tuesday’s 3.1935/1975.
• Thai baht: 12.1217/1386, compared with 12.1424/1609.
• Philippine peso: 6.51/6.52, compared with Tuesday’s 6.50/6.51.
• Indonesian rupiah: 228.3/228.7, compared with 228.1/228.4.