Cautious investment sentiment on US policies causes ringgit to strengthen

THE ringgit strengthened against the US dollar in early trading as investor sentiment remained cautious over the policies of US President Donald Trump's administration, particularly regarding tariffs and geopolitical tensions.

At 8 am, the ringgit was quoted at 4.4040/4310, up from Thursday's closing rate of 4.4270/4320.

Bank Muamalat Malaysia Bhd’s chief economist, Dr Mohd Afzanizam Abdul Rashid attributed the greenback's weakness to a decline in US Treasury yields and falling equity prices, as investors weighed corporate earnings.

He noted that Walmart’s latest earnings report highlighted concerns over uncertainties in consumer behaviour, global economic conditions, and geopolitics, all of which are expected to impact the retailer’s financial performance this year. – February 21, 2025