Ringgit continues momentum to open higher

KUALA LUMPUR: The ringgit extended its uptrend to open higher against the US dollar amid the weaker greenback.

At 9.04 am, the local note was trading at 4.2880/2980 compared to yesterday’s close of 4.3150/3250.

AxiCorp global chief market strategist Stephen Innes said the US Federal Reserve has been quarterbacking the supply of US dollars around the world via USD FX Swap facilities.

“Now they have opened up the door to even broader US dollar selling overnight by offering up a temporary repo facility with foreign central banks that will start on April 6 and last for six months,” he said, adding that this repo facility will be most welcome and should be put to immediate use by countries like Indonesia and Malaysia.

Meanwhile, the ringgit was also traded higher against a basket of major currencies.

It rose against the Singapore dollar at 3.0153/0234 from 3.0240/0325 at yesterday’s close and strengthened vis-a-vis the euro to 4.7284/7411 compared to 4.7353/7480.

The local unit was also appreciated against the British pound to 5.3210/3364 from 5.3282/3427 but was down versus the Japanese yen to 3.9877/9981 from 3.9773/9876.