Ringgit higher against most major currencies, easier vs US dollar

 The local note depreciates to 4.0470/4.0520 following stronger-than-expected US labour market data.

KUALA LUMPUR:

The ringgit traded mostly higher against major currencies but was easier against the US dollar in early trade today as the greenback strengthened following better-than-expected United States labour market data.

At 8am, the local note depreciated to 4.0470/4.0520 against the greenback from last Friday’s close of 4.0280/4.0320.

Bank Muamalat Malaysia Bhd chief economist Afzanizam Rashid said the US Dollar Index (DXY) rose to 100.069 points after the US labour market showed resilience in May.

“Meanwhile, the nonfarm payrolls (NFP) came in at 172,000, beating consensus estimates of 85,000, while the unemployment rate was sustained at 4.3%.

“Such a strong outturn is likely to keep the Federal Reserve restrictive when it meets for the Federal Open Market Committee (FOMC) meeting on June 16-17,” he said.

The ringgit traded mostly higher against a basket of major currencies.

It appreciated against the British pound to 5.3963/5.4029 from 5.4233/5.4287, and higher against the euro at 4.6630/4.6687 from 4.6882/4.6928, but it slipped versus the Japanese yen to 2.5240/2.5273 from 2.5183/2.5209 at previous close.

The local currency traded mixed against regional peers.

It gained versus the Singapore dollar to 3.1343/3.1384 from 3.1390/3.1424, and was up against the Thai baht to 12.3219/12.3446 from 12.3433/12.3605.

It weakened against the Philippine peso to 6.58/6.59 from 6.55/6.56, and dropped against the Indonesian rupiah at 224.3/224.7 versus 223.3/223.6 at last Friday’s close. - FMT