The ringgit opened higher against the US dollar on Thursday, recovering from a weaker close the previous day as traders reduced support for the US dollar ahead of the July 9 deadline for a 90-day US tariff pause.
At 10.10am, the ringgit was at 4.2230, unchanged against the US dollar since it opened in early trade on Thursday.
Bank Muamalat Chief Economist Dr Mohd Afzanizam Abdul Rashid said the US private sector unexpectedly lost 33,000 jobs in June, far short of market expectations of a gain of 99,000, according to ADP data.
He added that tonight's NFP report would be in focus, given the close correlation between the ADP and NFP data.
A sluggish labour market could trigger a change in the Fed's monetary policy, thus strengthening the chances of an interest rate cut.
Afzanizam also commented on the potential for tariff concessions by the US, citing the latest action against Vietnam as a clue. He said the ringgit is expected to remain in a cautious range ahead of the NFP report and the official tariff announcement this week.
At the open, the ringgit was mixed against a basket of major and ASEAN currencies.
It strengthened against the British pound to 5.7606/7728 from 5.7859/7941, rose against the Singapore dollar to 3.3154/3230 from 3.3167/3217, and rose against the Indonesian rupiah and Philippine peso.
However, it depreciated against the euro, Japanese yen and Thai baht.
