KUALA LUMPUR, Sept 8 — The ringgit rebounded from its loss yesterday to open slightly higher against the US dollar this morning, as cheaper prices due to recent losses prompted investors to return to emerging currencies, including the ringgit.
At 9.05am, the local currency rose to 4.4990/5020 against the greenback from Wednesday’s close of 4.5020/5040.
An analyst said that investors are also optimistic about the outcome of Bank Negara Malaysia’s (BNM) Monetary Policy Committee meeting today, where the central bank is expected to increase the overnight policy rate (OPR) by another 25 basis points (bps).
“In my opinion, BNM will increase the OPR by another 25 bps to 2.50 per cent to counter the rising inflation rate, which stood at 4.4 per cent back in July,” he said.
Meanwhile, the ringgit was traded mostly lower against a basket of major currencies.
The local unit depreciated against the Singapore dollar to 3.2001/2029 from Wednesday’s close of 3.1990/2009, weakened against the British pound at 5.1792/1827 from 5.1723/1746, and decreased against the euro to 4.4932/4961 from 4.4615/4635 previously.
However, the ringgit rose against the Japanese yen to 3.1204/1229 from 3.1238/1254 yesterday.
— Bernama
