KUALA LUMPUR (Nov 3): The ringgit opened lower against the US dollar on Wednesday (Nov 3) ahead of Bank Negara Malaysia’s (BNM) Monetary Policy Committee’s overnight policy rate (OPR) announcement and Federal Open Market Committee (FOMC) meeting.
At 9.15am, the local note had slipped to 4.1500/1535 versus the greenback from 4.1480/1495 at Tuesday’s close.
Bank Islam Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid said market participants are awaiting the outcome of the MPC meeting later this afternoon and grasp BNM’s latest assessment of the economic condition.
There is also an FOMC meeting to be concluded tonight.
“Thus far, economic data points in the US have been favourable amid rising inflationary pressures. Should the US Federal Reserve turn more hawkish, it may boost the value of the US dollar.
“Perhaps today (Wednesday), the ringgit will be in a tight range,” he told Bernama.
However, the ringgit was firmer against a basket of major currencies.
It rose slightly against the Singapore dollar to 3.0777/0808 from 3.0781/0796 at Tuesday’s close and strengthened against the Japanese yen to 3.6439/6469 from 3.6543/6556.
The local note also gained against the euro to 4.8057/8098 from 4.8104/8122 and increased vis-a-vis the British pound to 5.6527/6575 from 5.6587/6607.-BERNAMA