KUALA LUMPUR (Dec 10): The ringgit is expected to end the year at RM4.10 to the US dollar, before strengthening further to RM3.80 by end of 2019, on the back of expected dollar weakness, said RHB Research Institute Sdn Bhd.

At the time of writing, the ringgit is at 4.169 to the US dollar.

In a note today, RHB said the expected weakness follows potential slowdown in US economic growth and expectations that the US Federal Reserve (US Fed) may slow down its pace of rate hikes from its guided three times in 2019.

"On the currency front, the ringgit strengthened 0.6% versus US dollar to RM4.162 in the first week of November, after weakening by 1% in October.

"This came as the US dollar pared back some its gains following a more dovish remark by the US Fed and the G20 summit, in which US and China agreed to pause further tariff hikes for the next 90 days, signalling prospects of easing trade tensions," it said.

Year to date, the ringgit has weakened by 2.4% mainly on the back of a stronger US dollar.