1 week Ago
KUALA LUMPUR: The ringgit opened lower against the US dollar on Thursday as the greenback remained firm while local market players await the release of Bank Negara Malaysia’s (BNM) overnight policy rate (OPR) announcement later today, analysts said. At 9.01 am, the ringgit eased to 4.
7445/7470 versus the US dollar from yesterday’s close of 4.7390/7440. Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid told Bernama that the US Dollar Index (DXY) continued to rise to 105.
546 points, up 0.1 per cent. "Amidst no significant data to make economic deduction on where the rates will go, comments from the US Federal Reserve’s (Fed) officials will be the major guidance, and in so far, the Fed (officials) have been consistent in their messaging that inflation is still their ultimate concern.
"The Fed Reserve Bank of Boston president Susan Collins indicated that interest rates will likely need stay high for a protracted period in order to suppress demand and lower the price pressures,” he said. On that note, the ringgit is likely to stay weak with technical readings pointing that the local currency is near an overbought position, said Mohd Afzanizam. "Today’s focus will be on the BNM’s Monetary Policy Committee meeting decision.
All economists are expecting the OPR to remain unchanged at 3.00 per cent. "It is interesting to see BNM’s latest assessment on inflation in light of the recent policy changes, namely the flexible withdrawal from retirement f.
