KUALA LUMPUR: The ringgit closed a little lower against the greenback for the second consecutive day on Tuesday on caution amid ongoing uncertainties in the Middle East and ahead of the US consumer price index (CPI) report due tomorrow.
At 6 pm, the local currency slid to 4.4250/4300 against the US dollar, compared to yesterday’s close of 4.4225/4280.
Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid said the geopolitical and economic uncertainties have led to higher demand for the US dollar as investors sought shelter in the safe haven currency.
"The US CPI report, which will be published tomorrow night, will be closely monitored as it might influence the Federal Open Market Committee's (FOMC) decision next week when they meet on Dec 17 and 18," he told Bernama.
The ringgit traded higher against other major currencies.
It strengthened versus the British pound to 5.6432/6496 from 5.6466/6537, appreciated against the euro to 4.6595/6648 from 4.6733/6791 and gained against the Japanese yen to 2.9189/9224 from 2.9401/9440 at Monday’s close.
The local unit traded mixed against ASEAN currencies.
It climbed against the Singapore dollar to 3.2988/3028 versus 3.3019/3062 on Monday. However, the local note went down versus the Thai baht to 13.1006/1236 from 13.0801/1029 and was marginally lower against the Philippine peso at 7.63/7.64 from 7.62/7.63. It was unchanged against the Indonesian rupiah at 278.7/279.2. - Bernama
