Executive Director of ISTA Mielke GmbH, Oil World, Thomas Mielke, said for the last two to three years the ringgit has weakened considerably and people were divided whether there would be further weakening or not.
“The trading of the ringgit is expected to be on the upside, especially with the US Federal Reserve (Fed) likely to increase its interest rate this year,” he said.
He said this on the sidelines of the two-day Palm and Lauric Oils Price Outlook Conference and Exhibition 2017 here today.
It was reported that the Fed was set to increase interest rate this month by another 25 basis points and analysts said it would not portray a positive move for the US economy.
“This is where we assume there will be strength in the ringgit,” he said.
He, however, declined to say to what level the local note would rise. - Bernama