Ringgit reverses gains against US dollar on profit-taking

Ringgit reverses gains against US dollar on profit-taking
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KUALA LUMPUR (Nov 29): The ringgit retreated from last week’s gains to close lower against the US dollar on Tuesday (Nov 29) due to profit-taking, a dealer said.

At 6pm, the local note further weakened to 4.5060/5130 against the greenback from Friday (Nov 25)’s close of 4.4795/4890.

SPI Asset Management managing director Stephen Innes said the ringgit gave up ground on Tuesday, as Covid-19 cases continued to surge in China, which skews the tug of war between weaker economic data and the reopening — more toward a weaker outlook.

“There is some speculation that the recent protests could expedite a quicker reopening once Covid-19 eases and this should ultimately be positive for the ringgit,” he told Bernama.

Meanwhile, the ringgit was traded mostly lower against a basket of major currencies, except against the British pound, where it appreciated to 5.4004/4088 from 5.4094/4209 at Friday’s close.

The local note depreciated versus the Singapore dollar to 3.2804/2860 from 3.2573/2645, and slipped against the euro to 4.6705/6777 from 4.6551/6650 previously, while decreasing vis-a-vis the Japanese yen to 3.2614/2677 from 3.2118/2188 last week. 

The market was closed on Monday (Nov 28), in conjunction with the special public holiday announced by the 10th Prime Minister Datuk Seri Anwar Ibrahim last week.