The ringgit currency recorded a decline against the US dollar as investors were examining the Federal Reserve (Fed) decision to maintain interest rates.
At 10:13 am, the ringgit was trading at 3.9250, down 0.26% against the US dollar since opening early Thursday in the Asian session.
Bank Muamalat Bhd Chief Economist, Dr Mohd Afzanizam Abdul Rashid explained that the market had taken into account the central bank's decision, with the focus now on the appointment of the new Fed chairman.
He also noted that the development had the potential to affect market sentiment following the insistence of United States (US) President Donald Trump for interest rates to be cut lower.
According to Mohd Afzanizam, the US Dollar Index (DXY) recorded an increase of 0.26% early Thursday morning.
Meanwhile, Bank Negara Malaysia (BNM) Governor Datuk Seri Abdul Rasheed Ghaffour said that the country's economic growth prospects continue to be supported by strong fundamentals, economic diversification and resilient domestic demand.
At the opening, the ringgit was traded mixed against a basket of currencies.
It rose against the Japanese yen to 2.5558/5625 from 2.5652/5692 yesterday, rose against the euro to 4.6870/6990 from 4.6955/7027, but depreciated against the British pound to 5.4097/4235 from 5.4011/4093 previously.
At the same time, the ringgit was also traded stronger against ASEAN currencies.
It strengthened against the Singapore dollar to 3.1019/1103 from 3.1072/1122 and gained against the Thai baht to 12.5658/6097 from 12.6135/6389.
It also rose against the Philippine peso to 6.66/6.68 from 6.67/6.68 and gained against the Indonesian rupiah to 233.9/234.7 from 234.2/234.7 previously.
