KUALA LUMPUR: The ringgit closed easier against the US dollar today on lack of buying interest and in line with the weaker Asian currencies, weighed by continuous uncertainties surrounding the US-China trade tension, said AxiCorp chief global market strategist Stephen Innes.
At 6 pm, the local unit fell to 4.3220/3280 versus the greenback from yesterday’s close of 4.3030/3100.
Innes said the omnipresent US-China fracas continued to weigh on sentiment as traders were getting their trade war playbook out, just in case things turned nasty on the trade war front.
“It’s very unlikely tariffs will get reinstated but it’s a constant regional overhang regardless,” he said.
On the local front, Innes said the ringgit was being held back by a dimmer outlook for exports as key export destinations besides China are simply not consuming yet due to the coronavirus pandemic.
Meanwhile, the ringgit closed mixed against a basket of major currencies.
The local currency weakened against the Singapore dollar to 3.0417/0470 from yesterday’s close of 3.0384/0440 and depreciated versus the Japanese yen to 4.0651/0719 from 4.0268/0337.
The ringgit, however, improved vis-a-vis the euro to 4.6613/6695 from 4.6679/6772 and rose against the British pound to 5.3472/3555 from 5.3542/3642 previously.
The market is closed tomorrow for Wesak Day and will resume operations on Friday. – May 6, 2020, Bernama
