THE ringgit opened weaker against the US dollar on Wednesday as investors redirected their focus towards forthcoming US economic data, while maintaining firm expectations that the Federal Reserve will announce a 25-basis-point rate cut when its two-day policy meeting concludes later tonight.
At 8am, the ringgit eased to 4.1140/1250 against the greenback, compared with 4.1105/1165 at Tuesday’s close.
Bank Muamalat Malaysia Bhd chief economist Mohd Afzanizam Abdul Rashid said the US Dollar Index had inched up 0.13 per cent to 99.220 amid mixed signals from the US labour market.
“The local note should remain well supported, although it may trade in a narrow range of RM4.11 to RM4.12,” he told Bernama.
He added that market consensus points decisively towards a 25-basis-point cut by the Federal Open Market Committee.
“They have priced in the 25-basis-point cut. The key question now is whether the FOMC will remain cautious next year or adopt a more aggressive rate-cut stance,” he said. “With the full impact of US reciprocal tariffs expected next year, inflation could remain elevated.”
Against major currencies, the ringgit strengthened slightly, rising to 5.4729/4875 against the British pound from 5.4863/4943, firming to 4.7838/7966 against the euro from 4.7900/7970, and advancing to 2.6236/6307 against the Japanese yen from 2.6332/6373.
However, the local currency traded mostly lower against regional peers. It slipped to 3.1719/1807 against the Singapore dollar from 3.1705/1753, fell to 246.6/247.4 against the Indonesian rupiah from 246.4/246.9, and declined to 12.9225/9680 against the Thai baht from 12.9172/9413.
The ringgit also eased against the Philippine peso to 6.95/6.97 from 6.94/6.96 previously. - December 10, 2025
