The ringgit traded flat at the end of the week against the US dollar amid continued weakness in US economic data.
At 10.40am, the ringgit was at 4.2350, down 0.43% against the US dollar from its close of 4.2155 at the end of Thursday's trading.
Bank Muamalat Malaysia Bhd Chief Economist Dr Mohd Afzanizam Abdul Rashid said the US Dollar Index (DXY) fell 0.72 per cent to 97.0921, the lowest since March 2022 as data showed a cooling labour market and a moderating inflation trajectory.
He added that the core Producer Price Index (PPI) data for May rose 3.0 per cent year-on-year, below the consensus estimate of 3.1 per cent.
Meanwhile, initial jobless claims data rose to 248,000 last week, higher than the forecast of 242,000.
Mohd Afzanizam said the Fed is expected to keep the Federal Funds Rate unchanged at 4.50 percent at the FOMC meeting on June 17-18, with market participants paying close attention to the central bank's quarterly economic outlook.
He believes emerging market currencies including the ringgit are poised to strengthen.
At the same time, the ringgit was mostly traded lower against a basket of major currencies.
It rose against the euro to 4.8860/9063 from Thursday's close of 4.8765/8869, but weakened against the Japanese yen to 2.9412/9539 from 2.9329/9394, and depreciated against the British pound to 5.7363/7335 from 5.7363/7331.
Against Asean currencies, the ringgit was mixed.
It rose against the Philippine peso to 7.54/7.58 from 7.55/7.57 and rose slightly against the Indonesian rupiah to 259.1/260.3 from 259.5/260.2.
However, it fell against the Singapore dollar to 3.2936/3078 from 3.2934/3006, and fell against the Thai baht to 13.0124/0754 from 12.9828/13.0173.
