The ringgit opened slightly higher against the US dollar this morning, as currency traders opted to remain cautious ahead of the US Federal Open Market Committee (FOMC) meeting next week.
At 10am, the ringgit was at 4.1260, up 0.10% against the US dollar since opening early Monday in Asian trading.
Bank Muamalat Malaysia Bhd Chief Economist Dr Mohd Afzanizam Abdul Rashid explained that recent weak US economic indicators, including a decline in consumer confidence and a sluggish labour market, have increased expectations of a possible Federal Funds Rate cut.
He also noted that the ringgit was trading between RM4.12 and RM4.14 against the US dollar today, reflecting the cautious market sentiment.
Meanwhile, crude oil prices fell slightly after OPEC+ decided to maintain existing production quotas, with Brent crude oil at around $62.38 per barrel.
In early trade, the ringgit traded lower against a basket of major currencies.
It depreciated against the British pound to 5.4677/4743 from 5.4528/4594, fell against the euro to 4.7912/7970 from 4.7768/7825 and weakened against the yen to 2.6490/6523 from 2.645620/6456 previously.
The ringgit was also mixed against ASEAN currencies.
It fell against the Singapore dollar to 3.1872/1916 from 3.1813/1857 and plunged against the Thai baht to 12.8632/8892 from 12.8245/8472.
However, it remained unchanged against the Indonesian rupiah at 247.6/248.0 and stable against the Philippine peso at 7.04/7/06 previously.
