Ringgit ends higher against greenback, snaps 3-day losing streak

 

PETALING JAYA: The ringgit rebounded after three consecutive trading days of losses to close higher against the US dollar today as strong China manufacturing data spurred risk-on sentiment.

At 6pm, the local note advanced to 4.4710/4.4740 versus the greenback compared to yesterday’s closing rate of 4.4850/4.4895.

SPI Asset Management managing director Stephen Innes said the local note traded higher after China’s manufacturing purchasing managers’ index (PMI) climbed to 52.6 in February 2023, the highest level since April 2012, indicating that the world’s second biggest economy is rebounding strongly.

“Today is a better day thanks to strong China data and this will support the ringgit through Malaysia’s export ties to China,” he told Bernama.

Bank Muamalat Malaysia Bhd head of economics and market analysis Afzanizam Abdul Rashid said the ringgit’s rise was in line with the decline in the US Dollar Index by 0.45% to 104.397 points.

“The current level of RM4.4710 is quite close to its support level of RM4.4612,” he noted.

However, the ringgit traded mostly lower against a basket of major currencies.

The local unit was down vis-a-vis the euro to 4.7580/4.7612 from 4.7572/4.7620 yesterday, slipped against the Japanese yen to 3.2916/3.2941 from 3.2799/3.2835, but rose against the British pound to 5.3956/5.3992 from 5.4152/5.4206, previously.

The ringgit also traded lower against some Asean currencies.

It depreciated versus the Singapore dollar to 3.3333/3.3361 from 3.3247/3.3285 on Tuesday, fell against the Thai baht to 12.8484/12.8637 from 12.6892/12.7073, and was lower against the Philippine peso to 8.13/8.14 from 8.10/8.12 previously.

It gained against the Indonesian rupiah at 293.40/293.80 from 293.80/294.30 yesterday. - FMT