Ringgit closes lower against US dollar on profit-taking

One hundred ringgit notes (Bloomberg pic)

KUALA LUMPUR: The ringgit closed lower against the US dollar today on continued profit-taking following the recent appreciation of the local note, dealers said.

At 6pm, the ringgit traded at 4.1525/1555 against the US dollar from Tuesday’s close of 4.1450/1500.

OANDA Head of Trading Asia-Pacific Stephen Innes, however, said the ringgit’s position was still relatively positive on the back of foreign inflow of funds into the bond market.

“The prospects of higher oil prices, coupled with news that the country’s exports grew 17.7% in October, year-on-year, may have also capped the ringgit’s decline,” he told Bernama.

Malaysia’s exports in October breached the RM90 billion mark for the first time to hit a record high of RM96.38 billion, from RM81.86 billion recorded in the same month last year, said the report on Malaysia’s External Trade by the Ministry of International Trade and Ministry.

However, another dealer said the uncertainty surrounding the US-China trade negotiations last weekend in Argentina weighted on investors’ sentiment.

The ringgit, however, traded firmer against other major currencies.

It rose against the Singapore dollar to 3.0366/0392 from 3.0393/0441 on Tuesday and marginally strengthened against the yen to 3.6754/6784 from 3.6756/6810.

However, vis-a-vis the euro, the local unit edged up to 4.7077/7115 from 4.7299/7376 and appreciated against the pound to 5.2832/2891 from 5.3089/3166 yesterday.