Ringgit opens lower against US$ as retail sales data bolsters greenback

  • Business
  • Wednesday, 17 Jul 2019

KUALA LUMPUR: The ringgit opened slightly lower against the US dollar at opening due to weak demand for the local currency, said a dealer.

At 9.03 am, the local note stood at 4.1120/1160 against the US dollar from Tuesday’s close of 4.1100/1130.

The greenback according to him, remained firm following the release of a strong US retail sales data by the country’s Commerce Department, which showed an increase of 0.4 per cent month-on-month in June.

"The increase in retail sales is higher than expectations of a 0.1 per cent over the previous month,” he added.

Meanwhile, the ringgit traded higher against a basket of major currencies.

Against the Singapore dollar, it rose to 3.0260/0294 from 3.0276/0303 and appreciated versus the yen to 3.7986/8030 from 3.8087/8119.

The ringgit improved to 5.1026/1080 from 5.1161/1211 vis-a-vis the British pound and advanced to   4.6096/6157 from 4.6155/6205 when compared with the euro. - Bernama

 Stephen Innes, head of Vanguard Markets research, agrees that traders have dialled back on their dovish Fed bets on improved US dollar sentiment.

"Falling oil prices and a broadly stronger USD supported by the run of better than expected US economic data has seen speculative long MYR bets pull back," he said in a morning note.




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