KUALA LUMPUR: The ringgit has closed lower against the US dollar as investors remain cautious following the Bank of Japan’s (BoJ) decision to raise interest rates.
At 6pm yesterday, the local note fell to 4.0665/0700 versus the greenback from 4.0485/0525 at Monday’s close.
Bank Muamalat Malaysia Bhd chief economist Mohd Afzanizam Abdul Rashid said the BoJ’s decision to raise its policy rate prompted investors to remain cautious despite declining crude oil prices.
The Japanese central bank increased its policy rate by 25 basis points to 1%, as widely expected.
This marked the highest level since 1995, he noted.
At the close, the ringgit was lower against a basket of major currencies.
