Business · Malaysia Bureau
Ringgit slips to fresh lows as dollar demand strengthens
The Malaysian ringgit extended its decline against the US dollar and other major currencies, trading at 4.0795/4.0850 as softer American consumer data shifted market sentiment. Weakening risk appetite among investors has supported demand for the greenback.
LSN Malaysia ·
The ringgit weakened against the US dollar in early trading, breaching the 4.08 level as soft economic data from the United States pressured regional sentiment and bolstered the appeal of the world's reserve currency.
The local unit was quoted at 4.0795/4.0850 to the dollar, reflecting the selloff across emerging market currencies as investors reassessed their exposure to riskier assets. Disappointing US consumer spending figures dampened expectations for economic growth, prompting a flight to safety that benefited the dollar.
Market analysts expect the ringgit to remain under pressure in the near term as the weaker US data supports the greenback's safe-haven status. However, traders will monitor forthcoming economic indicators and central bank policy decisions for signs of stabilisation in regional currencies.
The broader regional currency complex traded lower across the board, with sentiment remaining fragile amid global uncertainty. The ringgit's performance will continue to be influenced by shifts in global risk appetite and diverging monetary policy trajectories between developed and emerging economies.