The ringgit opened higher against the US dollar and most major world currencies on Monday, supported by preliminary estimates of Gross Domestic Product (GDP) showing that the Malaysian economy grew stronger than expected in the second quarter (2Q) of 2026.
At 10am, the ringgit was at RM4.0850, up 0.12% since it opened early Monday in Asian trading.
According to the Department of Statistics Malaysia (DOSM), the country's economy grew 5.8% year-on-year in 2Q 2026, faster than the 5.4% growth recorded in the first quarter.
However, Bank Muamalat Malaysia Bhd Chief Economist Dr Mohd Afzanizam Abdul Rashid said that despite the positive domestic economic data, the currency market is expected to continue to pay attention to developments in the Middle East after the number of US military personnel killed increased following the exchange of attacks between the US and Iran.
He said the US Dollar Index (DXY) remained strong, rising 0.08% to 100.846 points from its previous close.
According to him, in such circumstances, the ringgit is expected to trade slightly weaker.
Last Friday, the ringgit closed 0.57% lower against the US dollar at RM4.0960.
Accordingly, he expected the local currency to move in the range of RM4.0900 to RM4.1165 today.
At the opening of trading, the ringgit also strengthened against other major currencies. The ringgit rose against the British pound to 5.5017/5118 from 5.5018/5099, strengthened against the euro to 4.6759/6845 from 4.6824/6893, and rose against the Japanese yen to 2.5177/5225 from 2.5208/5246.
Against regional currencies, the ringgit also performed better, rising against the Singapore dollar to 3.1664/1727 from 3.1709/1758, strengthening against the Indonesian rupiah to 228.3/228.8 from 228.4/228.8, and rising against the Thai baht to 12.1504/1781 from 12.1743/1965.
Meanwhile, the ringgit was unchanged against the Philippine peso, remaining at 6.64/6.66.
