Higher-than-expected US employment data indicates that the Federal Reserve will maintain its aggressive stance, says analyst.
The ringgit ended the week lower against the US dollar today amid growing concerns about a potential rate hike in the July US Federal Reserve (Fed) policy meeting, an economist said.
Bank Muamalat Malaysia Bhd chief economist Afzanizam Rashid said the latest ADP non-farm employment change data for June, which came in higher than expected, also indicated that the Fed is not about to loosen its grip on a hawkish stand.
“Hence, the non-farm payroll data print due later today will be closely monitored by market players,” he told Bernama.
At 6pm, the local currency slipped to 4.6655/4.6675 against the greenback compared with 4.6580/4.6630 at yesterday’s close.
It also traded lower against a basket of major currencies at today’s close.
The local currency declined vis-à-vis the euro to 5.0765/5.0787 from 5.0600/5.0654 at Thursday’s close, slipped against the Japanese yen to 3.2601/3.2617 from 3.2323/3.2359 and weakened against the British pound to 5.9466/5.9492 from 5.9310/5.9374 at yesterday’s close.
Meanwhile, the local currency traded mixed against other Asean currencies.
It was down versus the Singapore dollar at 3.4511/3.4528 from 3.4458/3.4497 and flat against the Philippine peso at 8.39/8.39.
However, the ringgit rose against the Indonesian rupiah to 308.0/308.3 from 309.3/309.8 yesterday and strengthened against the Thai baht to 13.2471/13.2588 from 13.2881/13.3088.
by 
Leave a Comment