SPI Asset Management managing director Stephen Innes said the situation was further exacerbated by China’s 34% retaliatory tariff response to the US.
“The ringgit is notably weaker today, dragged lower alongside the rest of Asian currencies as US president Donald Trump’s tariff barrage has now fully morphed into a front-page trade war, due to China’s 34% retaliatory response,” he told Bernama.
On April 2, Trump announced an additional 34% tariff on all Chinese goods imported into the US, and Beijing retaliated with a reciprocal 34% tariff on US goods shortly after.
However, Bank Muamalat Malaysia Bhd chief economist Afzanizam Abdul Rashid said due to the US tariffs, there was a sea of red in the global equities market, suggesting that risk-averse investors are shifting their focus towards safer instruments such as bonds and money markets.
At 6pm, the ringgit decreased to 4.4775/4.4840 against the greenback from last Friday’s close of 4.4335/4.4400.
The ringgit traded mostly lower against major currencies.
It slid against the Japanese yen to 3.0655/3.0704 from 3.0294/3.0340 and was down against the euro to 4.9100/4.9172 from 4.8706/4.8778.
However, it increased against the British pound to 5.7491/5.7575 from 5.7591/5.7676 yesterday.
The local note was mostly higher against Asean currencies.
It gained versus the Thai baht to 12.9128/12.9408 from 12.9589/12.9847 and inched up against the Indonesian rupiah at 266.1/266.6 from 266.2/266.7.
The ringgit was higher against the Philippine peso at 7.79/7.81 from 7.80/7.782 but was marginally lower versus the Singapore dollar to 3.3228/3.3281 from 3.3153/3.3204 previously. - FMT
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.