Ringgit rebounds, opens higher against weakening greenback

KUALA LUMPUR: The ringgit rebounded, opening higher against the US dollar on Monday as the greenback softened, with markets awaiting key events later in the week.

At 8 am, the ringgit appreciated to 4.3755/3805 against the dollar, rising from last week's close of 4.3780/3835.

Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid said the ringgit is likely to trade sideways as markets prepare for a busy week.

He noted that attention is turning to the upcoming US Presidential Election, set for Nov 5.

"There is also disappointment over October's labour market data, which came in much lower than expected, suggesting that the US Federal Reserve may cut rates by 25 basis points this week.

"Hence, the near-term outlook remains cautious," he told Bernama.

This morning, the ringgit was mixed against a basket of major currencies.

It rose against the euro to 4.7511/7641 from 4.7532/7592 but edged lower against the British pound at 5.6605/6760 from Friday's close of 5.6502/6573 and fell against the Japanese yen to 2.8693/8776 from 2.8652/8690.

The ringgit traded mostly higher against ASEAN currencies.

It was slightly up against the Indonesian rupiah at 277.7/278.6 from 278.2/278.7, rose against the Philippine peso to 7.48/7.51 from Friday's close of 7.49/7.51, and strengthened against the Thai baht to 12.8897/12.9377 from 12.9103/9322.

However, it slid against the Singapore dollar to 3.3056/3149 from 3.3054/3098.

-- BERNAMA