KUALA LUMPUR, March 12 — The ringgit closed higher as the US dollar dipped against a basket of currencies.
At 6pm, the local currency stood at 4.0820/0860 against the greenback compared to Monday’s close of 4.0870/0920.
Bank Islam Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid said the ringgit appeared to be well supported above the RM4.0842 level today.
“Technical indicators pointed to a neutral zone, suggesting the ringgit might have stabilised after yesterday’s depreciation. The FBM KLCI index rebounded too in tandem with the ringgit.
“Nonetheless, the ringgit is still fragile as the situation in the external sector remains fluid, especially in relation to Brexit and the US-China trade deal,” he told Bernama.
The dollar was under pressure after news that US retail sales rose a tepid 0.2 per cent in January after recording the biggest drop in nine years of 1.6 per cent in December 2018.
Overall, the ringgit was traded mostly lower against other major currencies.
It weakened against the Singapore dollar to 3.0094/0128 from Monday’s 3.0076/0124, the euro to 4.6016/6066 from 4.5983/6055 and the British pound to 5.3899/3972 from 5.3029/3110 yesterday, as the pound received a boost after the British government said it had secured legally binding changes to its Brexit deal with the European Union, ahead of the vote by lawmakers scheduled today.
The ringgit, however, rose against the Japanese yen to 3.6646/6692 from 3.6740/6799. — Bernama
