Ringgit opens slightly lower against US dollar

ringgit-dollarKUALA LUMPUR: The ringgit was traded slightly lower, ahead of the Christmas holiday this weekend, due to lack of traders’ participation in the market, as well as the influence by external factors.

At 9 am, the local unit inched down and traded at 4.4750/4800 against the greenback from Thursday’s close of 4.4740/4770.

On global factors, FXTM Chief Market Strategist Hussein Sayed said the US economic data might provide some sort of volatility if the data were to deviate a lot from forecasts.

Mixed US economic data released yesterday had cushioned the fall of global currencies.

Consumer spending growth in the US slowed and was less than forecast in November as wages fell.

However, orders for US business equipment climbed more than forecast.

Hussein also noted that there is no significant moves in equities, fixed income, or even currency markets today as trading volumes shrank, suggesting that more consolidation was expected throughout the remaining days of 2016.

“With less traders on their desks and most investors planning to spend New Year’s Eve, markets have clearly entered the holiday mood,” he said in a statement.

Against other major currencies, the local unit also traded mostly higher.

It appreciated against the Singapore dollar to 3.0862/0907 from yesterday’s 3.0879/0908, weakened against the yen to 3.8079/8147 from 3.8028/8079 and improved against the British pound to 5.4935/5023 from 5.5178/5219 yesterday.

However, the local note inched down vis-a-vis the euro to 4.6719/6789 from 4.6718/6767 on Thursday.