KUALA LUMPUR, Sept 10 — The ringgit retreated from last week’s gains to close lower against the US dollar today as the greenback strengthened on broad-based optimism surrounding the US-China trade war.

At 6pm, the ringgit rose to 4.1700/1730 against the US dollar from 4.1780/1830 recorded last Friday.

A dealer said the growing optimism helped spur the benchmark US Treasury yields to three-week highs as investors ventured into riskier assets.

“The trade spat between both countries intensified and this sparked demand for the US dollar. Investors are accumulating their positions for US assets as safe-haven investments,” he told Bernama.

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Against other major currencies, the ringgit was traded mostly lower except the Japanese Yen, against which the ringgit appreciated to 3.8852/8891 from 3.9050/9101 last Friday.

The local currency fell against the Singapore dollar to 3.0224/0254 from 3.0221/0261 and weakened versus the British pound to 5.1387/1432 from 5.1385/1463.

It also decreased vis-a-vis the euro to 4.6062/6099 from 4.6079/6147 as the single currency was under pressure ahead of the European Central Bank (ECB) meeting on Thursday, when the central bank is expected to deliver a package of extra monetary stimulus as economic growth falters.

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The ECB benchmark rate now stands at minus 0.40 per cent and market analysts expect the central bank to cut the rate by 20 basis points during the meeting.

The local market was closed yesterday for the birthday of the Yang di-Pertuan Agong Al-Sultan Abdullah Ri’ayatuddin Al-Mustafa Billah Shah. — Bernama