KUALA LUMPUR: The ringgit ended higher against the US dollar for the fourth straight day on Friday as sentiment improved on the back of 8.9% growth in gross domestic product (GDP) in the second quarter (Q2 2022), according to a dealer.
At 6:00 p.m., the local currency rose to 4.4435/4455 against the greenback from Thursday’s close at 4.4445/4460.
A dealer said market sentiment improved after Malaysia reported second-quarter GDP growth that outpaced the economic performance of several developed and regional countries such as China (0.4%) and the United States (1.6%).
“This has bolstered optimism in the market following the recent jump in Malaysia’s industrial production index announcement earlier this week,” he said.
Bank Negara Malaysia Governor Tan Sri Nor Shamsiah Mohd Yunus said the ringgit remained relatively stable against the currencies of Malaysia’s major trading partners, despite a stronger US dollar environment.
“In the second quarter, the nominal effective exchange rate (NEER) of the ringgit stood at a marginal depreciation of 0.1%. We cannot be much stronger than our major trading partners, as this will also affect our competitiveness. , and all other currencies are weaker than the US dollar,” she told a joint BNM and Statistics Department press conference.
Meanwhile, the ringgit closed higher against a basket of major currencies.
It improved against the Singapore dollar to 3.2406/2428 from 3.2456/2469 and appreciated against the pound to 5.3975/3999 from 5.4307/4326 previously.
The local currency appreciated against the Japanese yen at 3.3292/3310 against 3.3516/3529 on Thursday and appreciated against the euro at 4.5759/5780 against 4.5934/5949 at the close of ‘yesterday. – Bernama