Ringgit opens flat against USD on mixed sentiments

KUALA LUMPUR – The ringgit opened with little changes against the US dollar this morning on mixed market sentiment as concerns over global growth have escalated following the recent cut in the policy rate by the People’s Bank of China (PBOC), said an analyst.  

At 9am, the local note marginally fell to 4.6470/6530 against the greenback from 4.6465/6510 at yesterday’s close. 

Bank Muamalat Malaysia Bhd chief economist Mohd Afzanizam Abdul Rashid said the 10-year US Treasury yields were also high, implying that inflation premium remains visible which perhaps necessitates a prolonged restrictive monetary policy by the US Federal Reserve (Fed). 

Meanwhile, the FTSE Bursa Malaysia KLCI (FBM KLCI) opened slightly higher but turned lower thereafter amidst a lack of positive sentiment to lift the market.   

At 9.25am, the FBM KLCI eased 0.14 of-a-point to 1,450.43 from 1,450.57 at yesterday’s close. 

The key index opened 0.3 of-a-point better at 1,450.87.   

On the broader market, losers edged past gainers 241 to 204, while 328 counters were unchanged, 1,580 untraded and 13 others suspended. – Bernama, August 22, 2023