KUALA LUMPUR, Sept 27 — The ringgit is likely to be lower against the US dollar next week as the greenback hits a four-year high against major currencies, currency traders said.
Hong Leong Bank senior manager for bond and economic research Choong Yin Pheng said the ringgit would lack the catalyst next week and would be looking at the US dollar tone for direction.
She said the upside support from the overnight policy rate outlook was losing steam and would likely continue pressuring the local currency from going forward.
“With higher interest rate outlook in the US holding tight and reinforced by gains in the US data, it is likely that the greenback would remain firm next week,” she told Bernama.
On a weekly basis, the ringgit declined to 3.2580/2610 per US dollar against last Friday’s 3.2330/2350.
It also ended the week mostly lower against other major currencies except for the euro. The local unit depreciated against the Singapore dollar to 2.5645/5673 from last Friday’s 2.5515/5551, down against the yen at 2.9884/9917 from 2.9691/9723, and weakened against the British pound to 5.3193/3246 from 5.2957/2999.
However, it edged up against the euro to 4.1533/1584 from 4.1625/1664 last Friday. — Bernama
