Ringgit rises against greenback as US inflation grows

KUALA LUMPUR: The ringgit opened higher against the US dollar today as the greenback loses its ground due to rising inflation, a dealer said.

At 9.02am, the local currency rose to 4.1150/1200 against the greenback from Thursday's close of 4.1200/1220.

ActivTrades trader Dyogenes Rodrigues Diniz said the US Unemployment Claims data released on Thursday showed that rising inflation but not as much as some had feared as the main reason why the dollar failed to gain more ground against the ringgit.

"The four-week average US Unemployment Claims data was revised up to 405,000 claims from 385,000, while this week's result came in above expectations of 370,000, at 376,000 claims.

"The US labour market has not fully recovered yet, and the Federal Reserve is not bound to change its policy until employment goes back to the pre-COVID-19 levels," he said.

Meanwhile, the local note was traded mixed against a basket of major currencies.

The ringgit rose slightly vis-a-vis the euro to 5.0108/0169 from Thursday's close of 5.0120/0144 and gained against the yen to 3.7607/7657 from 3.7622/7640 yesterday.

The local unit slipped to 3.1094/1134 against the Singapore dollar from 3.1085/1102 previously and weakened against the British pound to 5.8314/8385 from 5.8084/8112 earlier. - Bernama

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