Ringgit Rally

KUALA LUMPUR: The ringgit extended Tuesday’s gains to open higher against the US dollar this morning as investors continued to buy local bonds and undervalued equities, said a dealer.

At 9 am, the local unit stood at 4.2780/2840 against the greenback compared with yesterday’s close of 4.2840/2860.

OANDA Senior Trader Stephen Innes said fund inflows resumed in Asia particularly in emerging markets following the announcement of vulnerable Consumer Price Index data in the United States which prompted a sell-off in the greenback.

Besides, China’s firm second-quarter economic growth data, which posted a 6.9 % growth on the back of industrial output pick-up, was supportive of regional risk, as the renminbi’s stability and strength was somewhat helping local risk sentiment.

The ringgit traded mostly higher against other currencies.

It appreciated against the Singapore dollar to 3.1309/1371 from 3.1359/1385 on Tuesday but eased against the Japanese yen to 3.8193/8257 from 3.8175/8203 yesterday.

Meanwhile, the local note improved against the pound to 5.5725/5829 from 5.5885/5915 and rose against the euro to 4.9385/9459 from 4.9480/9520.

Bernama KL

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.

Stephen Innes

Stephen Innes

Head of Trading APAC at OANDA
Stephen has over 25 years of experience in the financial markets and currently based in Singapore as the Head of Trading Asia Pacific with OANDA. Stephen's market views focus on the movement of G-10 and ASEAN Currencies. His views appear in Bloomberg, CNBC.Reuters, New York Times WSJ and the Economist. His media appearances include Bloomberg TV & Radio, BBC International, Sky TV, Channel News Asia, ASTRO AWANI and BFM Malaysia. Stephen has an extensive trading experience in Spot and Forward FX, Currency and Interest Rate Futures, Money Market Derivatives and Precious Metals. Before joining OANDA, he worked with organisations like Nat West, Chemical Bank, Garvin Guy Butler, and Sumitomo Mitsui Banking Corporation. Stephen was born in Glasgow, Scotland, and holds a Degree in Economics from the University of Western Ontario.
Stephen Innes