Ringgit strengthens against US dollar at close on Oct 5

Ringgit strengthens against US dollar at close on Oct 5
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KUALA LUMPUR (Oct 5): The ringgit continued to appreciate against the US dollar on Wednesday (Oct 5), ahead of the Budget 2023 tabling on Friday (Oct 7), said an analyst.

At 6pm, the local currency rose to 4.6290/6315 against the greenback, from Tuesday (Oct 4)’s close of 4.6420/6450.

SPI Asset Management managing partner Stephen Innes said the ringgit played a bit of catch-up on Wednesday, given the volatility in the foreign exchange market.

“Locals most likely want to validate a directional move before selling the US dollar and buying the local unit.

“There seems to be a bit of a long dollar position squeeze across the broader currency markets,” he told Bernama.

UOB Kay Hian Wealth Advisors Sdn Bhd head of wealth research and advisor Mohd Sedek Jantan said in the United States (US), the ADP non-farm employment change report for September will be the main focus later on Wednesday.

Meanwhile, the ringgit traded mixed against a basket of major currencies.

The local note edged up against the British pound to 5.2706/2734 from 5.2752/2786 at Tuesday’s close and inched up against the Japanese yen to 3.2037/2056 from 3.2067/2090 previously.

It eased versus the Singapore dollar to 3.2500/2522 from 3.2462/2487 on Tuesday, and fell vis-a-vis the euro to 4.5966/5991 from 4.5863/5893 previously.