The ringgit opened slightly stronger against the US dollar, in line with the forecast of reaching RM4.10 by year-end, following dovish statements from Federal Reserve (Fed) officials that weakened the US dollar.
At 10:40 am, the ringgit was at 4.1300, strengthening by 0.19% against the US dollar since opening early Tuesday in Asian trading.
Bank Muamalat Malaysia Bhd Chief Economist Dr Afzanizam Abdul Rashid expects the ringgit to maintain its positive momentum today.
He also explained that the bank has revised its ringgit forecast to RM4.10 from RM4.15 by year-end, following the narrowing interest rate gap between the United States (US) Federal Funds Rate and Malaysia's Overnight Policy Rate.
At the opening, the ringgit was trading higher against a basket of major currencies.
It rose against the yen to 2.6366/6434 from 2.6392/6426 yesterday, and strengthened against the euro to 4.7652/7773 from 4.7700/7757, but weakened slightly against the British pound to 5.4209/4346 from 5.4153/4219 previously.
The ringgit also traded lower against ASEAN currencies.
It declined against the Singapore dollar to 3.1697/1783 from 3.1689/1730 yesterday, and fell against the Thai baht to 12.7776/8184 from 12.7324/7525.
It remained steady against the Indonesian rupiah at 247.7/248.4 from 247.7/248.1 and was unchanged against the Philippine peso at 7.02/7.04.
