Ringgit momentum wanes but expected to rise further

At 9 am(0100gmt), the local unit was at 4.1130/1170 against the greenback from 4.1155/1185 last Friday.

KUALA LUMPUR: The ringgit opened lower today against the US dollar on weak demand for the local note.

At 9 am, the local unit stood at 4.0820/0870 from 4.0780/0810 on Friday's close.

OANDA Head of Trading Asia-Pacific, Stephen Innes, said despite the weaker number at the opening, the  stable oil prices, healthy economic outlook and a more hawkish tilt from the Bank Negara Malaysia should lead the local currency as well as the other ASEAN currencies to perform well.

“Also, inflows into emerging markets should increase given the dovish US Federal Reserves narrative and a strengthening current account surplus,” he said in a statement He said although the momentum was waning at year-end, dealers were now targeting the ringgit at RM3.90 against the US dollar in 2018. - Bernama