The ringgit opened higher against the US dollar today, supported by buying interests for the local note, dealers said.
At 9am, the local unit was at 4.1130/1170 against the greenback from 4.1155/1185 last Friday.
OANDA head of trading Asia-Pacific, Stephen Innes, said besides the robust demand and positive external factors that were firming the ringgit’s strength, the local note was also driven by currency traders progressively pricing an interest rate increase by Bank Negara Malaysia in January next year.
On the external front, Innes said, after the recent rally, the ringgit should be consolidating ahead of the release of key US personal consumption expenditures data, Organisation of the Petroleum Exporting Countries (OPEC) meeting and US tax reform vote.
Against a basket of major currencies, the ringgit was traded mostly higher.
The local currency increased against the Singapore dollar to 3.0539/0578 from 3.0553/0584 last Friday and gained vis-a-vis the yen to 3.6858/6901 from 3.6927/6964 previously.