KUALA LUMPUR: The ringgit retreated from last week’s gain to close lower against the US dollar today as investors turned to safe-haven assets due to uncertainty in the global economic outlook, dealers said.
At 6pm, the local note was at 4.4400/4480 compared with last Friday’s close of 4.3947/4012.
However, a dealer said the gain made by the greenback was limited as US lawmakers failed to pass a stimulus package to cushion the country from impacts related to the Covid-19 pandemic, resulting in some investors who had bet on a big stimulus measure, venting their frustration by selling the US dollar.
“Legislators in Washington were unable to clear the stimulus measures on Sunday and a vote on Monday was ruled out as Republicans and Democrats tussled over the details of a proposed US$1 tril (RM4.44 tril) spending package,” said the dealer.
Meanwhile, the ringgit was traded mostly lower against a basket of major currencies.
It fell slightly against the Singapore dollar at 3.0474/0543 from 3.0303/0369 at Friday’s close and declined vis-a-vis the euro to 4.7539/7634 from 4.7204/7303.
It also weakened against the Japanese yen to 4.0290/0374 from 3.9811/9898, but appreciated against the British pound to 5.1619/1730 from 5.1926/2042. – March 24, 2020, Bernama
