Ringgit rebounds against US dollar

14 Aug 2019 / 18:56 H.

KUALA LUMPUR: The ringgit rebounded slightly to close higher against the US dollar today as risk appetite for riskier assets improved after the United States made trade concessions to China.

At 6pm, the ringgit finished at 4.1870/1900 against the greenback from Tuesday’s close of 4.1960/1990.

Bank Islam chief economist Dr Mohd Afzanizam Abdul Rashid said demand for the ringgit turned better as investors cheered up the delay in the US tariff against some imports from China.

The 10% tariff, scheduled to begin next month on certain products including laptops and cell phones, is delayed to Dec 15.

“That provided some relief, perhaps spurring hope that an amicable solution could be achieved at some point in the future.

“However, the situation is very much fluid, and expect foreign exchange markets to remain defensive, leading to higher demand for safe haven currencies such as the US dollar,” he told Bernama.

Similarly, the ringgit was traded firmer against a basket of major currencies.

It rose against the Singapore dollar to 3.0192/0224 from 3.0213/0252 recorded on Tuesday, and increased versus Japanese yen to 3.9359/9398 from 3.9905/9945.

The local currency appreciated against the British pound to 5.0575/0628 from 5.0633/0703 and edged up vis-a-vis the euro to 4.6802/6840 from 4.7016/0654 previously. — Bernama

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