KUALA LUMPUR, Aug 22 — The ringgit ended flat against the US dollar for the second consecutive day today, due to a lack of new catalysts, said an analyst.
At 6pm, the local note stayed unchanged at 4.6465/6495 against the greenback from 4.6465/6510 at yesterday’s close.
Bank Muamalat Malaysia Bhd chief economist Mohd Afzanizam Abdul Rashid said the ringgit was hovering between RM4.6453 and RM4.6518 as the market sought clearer direction for the United States rates.
“So far, the 10-year US Treasury yield, which is hovering around 4.31 per cent, has remained at elevated levels.
“This would imply an inflation premium which could result in central banks maintaining their vigilance on price stability goal,” he told Bernama.
Mohd Afzanizam added that US Federal Reserve (Fed) chairman Jerome Powell is expected to deliver his speech on August 25, and investors would seek any indication of a possible shift in their stance.
“It seems the Fed is likely to keep hawkish which would be dollar-positive,” he said.
Meanwhile, the ringgit was traded mostly lower against a basket of major currencies.
It slid versus the Japanese yen to 3.1919/1942 from 3.1869/1902 on Monday, depreciated against the euro to 5.0689/0721 from 5.0647/0696 and inched down vis-à-vis the British pound to 5.9406/9444 from 5.9196/9254 previously.
The local note mainly was lower against other Asean currencies.
The ringgit decreased against the Singapore dollar to 3.4312/4336 from 3.4241/4279 on Monday and slipped versus the Indonesian rupiah to 303.3/303.6 from 303.1/303.6 previously.
It declined vis-à-vis the Thai baht to 13.2928/3079 from 13.2070/2258; however, the Philippine peso remained unchanged at 8.24/8.25.
— Bernama
