Ringgit Appreciates Further Amid Softer US Dollar Demand

By Anas Abu Hassan

KUALA LUMPUR, April 30 (Bernama) -- The ringgit continued to close firmer against the greenback on Wednesday as the US Dollar Index (DXY) remained below the 100-point level amid softer demand, an economist said.

At 6 pm, the local currency rose to 4.3130/3185 versus the US dollar from Tuesday’s close of 4.3245/3300.

Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid said that ongoing heightened uncertainties over United States (US) tariff issues had led to lower demand for the greenback.

“This has raised questions over the US dollar’s status as a safe-haven currency, which normally would thrive during economic calamities,” he told Bernama.

Meanwhile, SPI Asset Management managing director Stephen Innes said the ringgit would continue to ride on the narrative of possible worst-case tariff scenarios.

“It seems to be catching some speculative tailwinds from this broader theme,” he added.

At the close, the ringgit traded higher against a basket of major currencies.

It rose versus the Japanese yen to 3.0142/0182 from 3.0301/0341 at Tuesday’s close, strengthened vis-a-vis the euro to 4.9009/9071 from 4.9217/9280 yesterday, and improved against the British pound to 5.7626/7699 from 5.7927/8000 previously.

Meanwhile, the ringgit performed mixed against its ASEAN peers.

It was flat versus the Singapore dollar at 3.3027/3074 but strengthened against the Thai baht to 12.9066/9304 from 12.9399/9629 yesterday.

In contrast, the local note weakened vis-a-vis the Philippine peso to 7.72/7.73 from 7.70/7.72 yesterday and depreciated against the Indonesian rupiah to 259.7/260.2 from 257.9/258.4.

The market will be closed on Thursday in conjunction with Labour Day public holiday.

-- BERNAMA