Ringgit continues to strengthen against greenback

KUALA LUMPUR: The ringgit continued Wednesday’s favourable momentum against the US dollar Thursday as geopolitical factors and the release of minutes of the last US Federal Open Market Committee (FOMC) meeting became themes that influenced the market, a dealer said.

At 9 am(0100gmt), the ringgit was traded at 4.2940/2970 against the greenback from 4.2950/2990 on Wednesday.

FXTM Research Analyst, Lukman Otunuga, said geopolitical tensions stemming from North Korea’s missile launch had encouraged investors to adopt a more cautious stance.

“The re-emergence of geopolitical tensions in Asia, ‘Britain exit’ developments and ongoing political instability in Washington could make for wild trading conditions in the third quarter of 2017,” he said in a statement.

FOMC minutes released yesterday gave no new insights into the outlook for US interest rates even though most Fed policymakers agreed with the need to raise interest rates.

Source: Bernama