KUALA LUMPUR, 31 March (Bernama) — The ringgit has prolonged its upward momentum against the dollar, because the US greenback retreated amidst considerations over the United States’ (US) gross home product (GDP) knowledge which revealed a lower-than-expected studying, stated an analyst.
At 9 am, the native forex strengthened to 4.2015/2050 against the dollar from 4.2030/2055 at Wednesday’s shut.
According to information studies, the US annual financial progress within the fourth quarter of 2021 was revised down to six.9 per cent from the anticipated 7.1 per cent.
Subsequently, the US greenback index (DXY) declined by 0.62 per cent to 97.79 factors because the US Federal Reserve (Fed) would doubtless increase its coverage charge by 25 foundation factors, stated Bank Islam Malaysia Bhd chief economist Mohd Afzanizam Abdul Rashid.
It was the primary hike in additional than three years; signalling an aggressive stance that has left the bond market fearing a recession down the street.
“However, the ADP Employment Change, which measures job creation within the non-public sector, stood at 455,000 in February — barely above the road forecast of 450,000, implying that the labour market remained sturdy,” he instructed Bernama.
Overall, Mohd Afzanizam opined that the ringgit might stay regular at round RM4.20 per US greenback in the present day.
At the opening, the ringgit was traded blended against a basket of main currencies.
The native unit appreciated against the Japanese yen to three.4357/4388 from 3.4490/4515 on Wednesday and improved against the British pound to five.5216/5262 from 5.5248/5281 beforehand.
However, it had slipped against the Singapore greenback to three.1065/1095 from 3.1034/1058 at yesterday’s shut and weakened versus the euro to 4.6956/6995 from 4.6784/6811 beforehand. – Bernama
