Yesterday, the Malaysian Ringgit (MYR) broke through the 4.6 mark against the US Dollar (USD) and continued its upward momentum today, reaching as high as 4.55.
Against the Singapore Dollar (SGD), the Ringgit neared the 3.4 level, marking the highest exchange rates in a year for both currencies.
Slight dip before rising again
According to Bloomberg, the Ringgit opened trading against the USD at 4.5898, initially declining before reversing its course and peaking at 4.5455.
By 11 a.m., it was trading at 4.5545, compared to the previous day’s closing rate of 4.5885.
Concurrently, the Ringgit opened against the SGD at 3.4354, briefly dipping to 3.4369 before climbing to a high of 3.4050. By 11 a.m., it was at 3.4077, up from the previous day’s closing rate of 3.4289.
Japanese Yen strengthened
Additionally, the Japanese Yen strengthened following a 15-basis point interest rate hike by the Bank of Japan.
The Federal Reserve’s potential interest rate cut in September is also seen as a catalyst for the Ringgit’s continued strength, marking a one-year high.
This development stems from the FOMC’s statement indicating a more cautious stance on the economic outlook and a possible pivot towards maintaining growth.
