At 9 am, the local currency slipped to 4.5350/5405 against the greenback against 4.5340/5365 at Thursday’s close. — photo by Bernama

Monday, September 19, 2022 09:51 GMT

KUALA LUMPUR, Sept. 19 – The ringgit continued its downward trend on Monday due to lack of catalysts amid growing risk sentiment, an analyst has said.

At 9 am, the local currency slipped to 4.5350/5405 against the greenback against 4.5340/5365 at Thursday’s close.

The market was closed last Friday in celebration of Malaysia Day 2022.

In a note, Kenanga Research said investors are watching the crucial U.S. Federal Reserve (Fed) monetary policy meeting later this week, where the Federal Open Market Committee is expected to continue its rate hike momentum.

“The ringgit could trade around 4.52-4.55 against the safe-haven US dollar amid growing risk sentiment amid expectations that the Fed could continue to hike the rate another 75 basis points,” did he declare.

Nonetheless, a further decline in the local rating was offset by higher oil prices, as at press time the benchmark Brent crude rose 1.11% to US$92.36. the barrel.

Meanwhile, the ringgit was trading against a basket of major currencies.

It strengthened against the British pound to 5.1799/1862 from 5.2214/2242 at Thursday’s close and edged up against the Singapore dollar to 3.2236/2280 from 3.2238/2261 previously.

However, the local rating fell against the Euro to 4.5395/5450 from 4.5317/5342 last week and fell against the Japanese Yen to 3.1729/1770 from 3.1647/1666 previously. — Bernama