KUALA LUMPUR, Nov 17 — The ringgit retreated against the US dollar on Thursday on profit-taking ahead of the 15th general election (GE15) this Saturday, with global uncertainties further weighing on sentiment, a dealer said.
At 6pm, the local note slipped to 4.5490/5565 versus the greenback from Wednesday’s close of 4.5400/5485.
SPI Asset Management managing director Stephen Innes noted that Asian stocks declined after China’s central bank flagged the possibility of rising inflation, adding to the risk-off sentiment spurred by hawkish remarks from US Federal Reserve (Fed) officials.
The combination of risk-off sentiment in Asia and a hawkish Fed weighed on the ringgit as traders turned to profit-taking mode ahead of GE15.
“However, I expect China’s reopening enthusiasm to be a significant driver of the Malaysian market sentiment,” he told Bernama.
The ringgit was traded mostly higher against a basket of major currencies.
It increased against the Singapore dollar to 3.3091/3150 from 3.3185/3252 yesterday, depreciated vis-à-vis the British pound to 5.4069/4159 from 5.4017/4118 and rose against the euro to 4.7146/7224 from 4.7311/7400 on Wednesday.
It fell versus the Japanese yen to 3.2581/2637 from 3.2561/2624 at yesterday’s close.
The market will be closed on Friday as November 18 and November 19 have been declared public holidays to enable voters to vote in GE15.