Tag: Mohd Afzanizam

Ringgit opens higher, expected to continue rising if OPR remains at 2.75 percent

KUALA LUMPUR -- The ringgit continued yesterday's momentum as it opened higher on Thursday amid expectations that the local currency has the potential to continue to rise today. Market consensus is that Bank Negara Malaysia (BNM) is expected to maintain the Overnight Policy Rate (OPR) at 2.75 percent. At 8am, the local currency was trading at 3.905/9300 against the US dollar from 3.9230/9275 at the close on Wednesday. BNM will hold its third Monetary Policy Committee meeting today, with market players expecting the OPR to remain unchanged at 2.75 percent pending an updated assessment of Malaysia's inflation and growth prospects. Bank Muamalat Malaysia Bhd Chief Economist Mohd Afzanizam Abdul Rashid said the ringgit's performance was also driven by increased risk appetite after the United States (US) and Iran were expected to be ready to reach an agreement and reopen the Strait of Hormuz. "Risk appetite increased significantly with the S&P 500 and Nasdaq jumping 1.46 percent and 2.02 percent respectively in a day to close at 7,365.12 points and 25,838.94. "US Treasury yields for two-year and 10-year terms declined by eight basis points to 3.87 per cent and 4.35 per cent respectively," he told Bernama . The US Dollar Index (DXY) decreased 0.43 percent to 98.023 points. Mohd Afzanizam said in this regard, the ringgit has the potential to continue strengthening today with BNM expected to maintain the OPR at 2.75 percent. "The US dollar-ringgit pair today is expected to move towards the RM3.90 level," he said. At the opening of trading, the ringgit traded higher against a basket of major currencies. The local unit strengthened against the euro to 4.6058/6170 from 4.6189/6242 at Wednesday's close, rose against the British pound to 5.3280/3409 from 5.3443/350 and rose against the Japanese yen to 2.5046/5109 from 2.5159/5191 yesterday. Local currencies are also mostly high compared to regional currencies. The local unit rose against the Singapore dollar to 3.0909/0986 from 3.0946/0986 at Wednesday's close and strengthened against the Thai baht to 12.1536/1898 from 12.1866/2074. The ringgit traded little changed against the Indonesian rupiah to 225.4/226.1 from 225.6/225.9 previously, and remained unchanged against the Philippine peso at 6.39/6.41.

KUALA LUMPUR — The ringgit continued yesterday’s momentum as it opened higher on Thursday amid expectations that the local currency has the potential to continue to rise today. Market consensus is that Bank Negara Malaysia (BNM) is expected to maintain the Overnight Policy Rate (OPR) at 2.75 percent. At 8am, the local currency was trading […]