KUALA LUMPUR, Nov 13 – The ringgit continued its downtrend against the US dollar in the early session today as expectations of an interest rate hike by the US Federal Reserve (Fed) next month hampered demand for the local note.
At 9.17am, the ringgit stood at 4.1940/1970 versus the greenback from 4.1860/1900 at the close yesterday.
A dealer said the greenback rose to its 16-month high yesterday as market players strongly believed that the Fed would increase interest rates next month, which renewed the ringgit’s weakness.
He said in addition, lower global oil prices also negatively affected investors sentiment towards the ringgit, as the fall would affect the country’s oil and gas revenue.
The international benchmark Brent crude futures slipped US$1.20 to US$68.97 per barrel, while US crude fell 82 cents to US$59.11 a barrel.
Against other major currencies, the ringgit traded mostly lower, except against the euro, where it rose to 4.7090/7128 from 4.7113/7175 at close yesterday.
It fell against the Singapore dollar at 3.0293/0319 from 3.0265/0299, declined against the Japanese yen to 3.6903/6936 from 3.6739/6780, and was lower versus the British pound at 5.3926/3969 from 5.3765/3833. – Bernama