20-6-2023 (KUALA LUMPUR) The ringgit opened lower against the US dollar today, extending its losses amid weaker market sentiment, according to an economist. At 9 am, the local currency slipped to 4.6325/6385 against the greenback from 4.6265/6350 at yesterday’s close. Bank Muamalat Malaysia Bhd’s Chief Economist and Social Finance Head, Dr Mohd Afzanizam Abdul Rashid, said the ringgit also weakened against the British pound and euro due to a hawkish stand by the Bank of England and the European Central Bank.
Dr Rashid added that the external environment appears increasingly wobbly as major central banks remain resolute in their resolve to lower inflation. He predicted that USD/MYR is expected to linger around 4.62 due to weak market sentiments. The ringgit also traded lower against a basket of major currencies.
It depreciated against the British pound to 5.9296/9373 from 5.9242/9351 on Monday, fell against the Japanese yen to 3.2598/2643 from 3.2588/2650, and weakened versus the euro to 5.0582/0648 from 5.0470/0563 previously. Similarly, the local currency traded lower against other ASEAN currencies.
The ringgit declined against the Thai baht to 13.3152/3378 from yesterday’s 13.2926/3236 and went down against the Singapore dollar to 3.4540/4590 against 3.4490/4556. It was also lower versus the Indonesian rupiah at 308.9/309.4 from 308.5/309.2 and dropped against the Philippine peso to 8.31/8.33 from 8.30/8.32.
