Ringgit slips further against US dollar

KUALA LUMPUR: The ringgit slipped further against the US dollar at the opening today as the greenback remained firm amid persistent uncertainties surrounding the US-China trade conflict.

At 9am today, the ringgit was quoted at 4.1900/1930 against the greenback compared to 4.1845/1875 from Tuesday’s close.

Bank Islam Malaysia Bhd chief economist Mohd Afzanizam Abdul Rashid said the ringgit is expected to remain weak although further downside risks could be limited as the currency is already at an oversold position.

“The 90 days’ reprieve granted to Huawei may ease concern on the impact to the technology sector in the immediate term.

“However, trade conflict remains fluid and we have yet to see another round of retaliation from China. All eyes will be on the Chinese yuan and how it will fare at the current juncture,” he told Bernama.

The US Department of Commerce has granted Huawei Technology Co Ltd a temporary general export licence for 90 days.

While the company is still prohibited from doing business with most US companies, it is allowed to continue using critical product support.

Meanwhile, the ringgit traded mostly lower against a basket of major currencies except for the British pound.

The local note was lower against the Singapore dollar at 3.0358/0384 compared with 3.0355/0386 from Tuesday’s close and fell against the euro to 4.6723/6765 from 4.6653/6699.

It depreciated against the Japanese yen to 3.8032/8070 from 3.7972/8006 but rose vis-a-vis the British pound to 5.3004/3058 from 5.3118/3165 on Tuesday.

The market was closed yesterday for the Nuzul Al-Quran holiday.