KUALA LUMPUR, March 21 — The ringgit opened higher against the US dollar on Thursday after the US Federal Open Market Committee (FOMC) opted to keep the Federal Funds Rate (FFR)...
Easy targets? Singapore maids enticed by Lucky Plaza jewellers’ ‘S$0 upfront’ deals buy gold to pawn for cash; some struggle to repay debtsKUALA LUMPUR, March 21 — The ringgit opened higher against the US dollar on Thursday after the US Federal Open Market Committee opted to keep the Federal Funds Rate steady at 5.50 per cent, which further strengthens the local note.
“Consequently, a cut in the FFR is warranted and that could weaken the US dollar. This could bolster the value of the ringgit.“With this in mind, we are reiterating our forecast for the US dollar to ringgit exchange rate to reach RM4.50 by the end of the year,” he told Bernama. Mohd Afzanizam explained that the FOMC carried sentiments from the prior meeting as the committee reiterated its view of the economy’s robust growth trajectory, coupled with a gradual easing of inflation rates that, albeit reduced, persisted above their targeted 2 per cent threshold.
“A focal point of significance in this meeting lies in the Federal Reserve dot plot, illustrating the range of FFR projections among Fed members. Notably, the latest projections suggest a more cautious stance,” he added.Mohd Afzanizam emphasised that FOMC members continue to exercise caution regarding inflation risks while maintaining a resolute stance on potential rate adjustments this year.It slipped vis-a-vis the Japanese yen to 3.1261/1287 from 3.
The ringgit was traded mostly higher against other Asean currencies, with the local note up against the Singapore dollar to 3.5169/5198 from Wednesday’s 3.5204/5255, appreciated vis-a-vis the Philippine peso to 8.40/8.42 from Wednesday’s 8.43/8.45 previously and was stronger against the Indonesian rupiah at 299.3/299.6 from 301.0/301.5.