Ringgit slips against greenback

Ringgit slips against greenback
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KUALA LUMPUR (Oct 22): The ringgit opened slightly lower against the US dollar, although the losses were capped by strong commodity prices.

At 9am, the local note stood at 4.1570/1620 versus the greenback 4.1565/1595 at Thursday’s close.

ActivTrades trader Dyogenes Rodrigues Diniz said the US dollar was supported by US jobless claims data.

“The data came in slightly lower than expected (290,000 real against the 300,000 forecast), which was generally positive for the US dollar. However, as the number came very close to what was expected, it did not cause great volatility in the market.

However, Diniz said US Federal Reserve chair Jerome Powell's speech on Friday may cause some volatility as he could give important clues about the next steps the US central bank will take in terms of monetary policy. 

Back home, local investors will keep an eye on the Consumer Price Index (CPI) data to be released on Friday, which would provide clues about the rate of inflation of the country.

Analysts expect the country’s CPI to increase by 2.2%, compared with 2% in August.

The ringgit was traded higher against a basket of major currencies at the opening on Friday.

Against the Singapore dollar, it rose to 3.0873/0912 from 3.0908/0933 and improved to 3.6433/6477 from 3.6441/6471 versus the yen.

Compared with the British pound, the local note appreciated to 5.7325/7394 from 5.7360/7401 and increased against the euro to 4.8325/8383 from 4.8386/8421 previously.