Ringgit opens slightly lower against US dollar amid improved sentiment

Ringgit opens slightly lower against US dollar amid improved sentiment

KUALA LUMPUR: The ringgit opened slightly lower against the US dollar today on improving risk sentiment, due to the signing of the United States (US) stimulus deal by President Donald Trump, traders said.

At 9am, the local note marginally eased to 4.0490/0540 against the greenback from Monday’s close of 4.0475/0530.

Axi chief global market strategist Stephen Innes said the US$900 billion emergency relief fund is a positive mood changer, as it includes assistance for small businesses, health providers and schools, as well as individuals facing unemployment and evictions.

“However, oil prices are giving way to supply concerns as the Organisation of the Petroleum Exporting Countries (OPEC) may quicken the pace in bringing more barrels back to markets.

“The market is waiting to see if the US Senate approves an increase in the COVID-19 aid check from $600 to $2,000, which would provide a boost to risk sentiments and help the ringgit cause,” he told Bernama.

Meanwhile, the ringgit was traded better against other major currencies.

It improved against the Singapore dollar at 3.0460/0500 from 3.0483/0529 on Monday, and appreciated versus the British pound to 5.4548/4624 from 5.4856/4938 previously.

The local note rose against the Japanese yen to 3.9019/9071 from 3.9114/9178, and ticked up against the euro to 4.9503/9580 from 4.9570/9649 yesterday.-Bernama