KUALA LUMPUR: The ringgit ended marginally higher against the US dollar yesterday, supported by softer-than-expected US inflation data and reduced expectations of a near-term rate hike.
At 6pm, the local currency appreciated to 4.0710/0745 against the greenback, compared with Wednesday’s close of 4.0760/0805.
Bank Muamalat Malaysia Bhd chief economist Mohd Afzanizam Abdul Rashid said Asian currencies were generally firmer against the US dollar as expectations of a US rate hike receded.
“Both the US Consumer Price Index and Producer Price Index came in lower than expected in June, following a decline in crude oil prices during the month.
“In addition, the US Federal Reserve chair’s remarks to the Senate Banking Committee last night suggested that the Fed is not in a hurry to raise the federal funds rate,” he told Bernama.
