Ringgit closes higher on heightened interest

, Dec 20 — The ringgit closed higher against the today on renewed buying interest despite higher consumer price index (CPI) recorded in November, said a dealer.

At 6pm, the local unit was ended at 4.071/0770 against the greenback from Tuesday’s 4.0790/0830.

The CPI, which measures headline , rose 3.4 per cent to 120.8 on a year-on-year basis in November 2017, from 116.8 previously, due to fuel price hike.

The dealer said, however, the increase in CPI was in line with market expectations.  

Meanwhile, Oanda Head of Trading Asia- Stephen Innes said the stronger ringgit was also based on robust regional sentiment, of which was a massive part of the equation.

“It is quite impressive that we see the US dollar strengthened across G-10 currency space. But the ringgit is stronger, and this is related to reports that China’s economic work conference is expected to ease deleveraging efforts in 2018.

“(This translates to) an unexpected holiday season gift for emerging market Asian investors and even more so to the ringgit as exports will benefit from more robust economic growth in China,” he told Bernama. 

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

The local note eased against the euro to 4.8188/8264 from Tuesday’s 4.8149/8212 but increased against the  dollar to 3.0247/0310 from 3.0282/0323 yesterday. 

The ringgit also appreciated against the yen to 3.5976/6035 from 3.6219/6258 and traded higher against the British pound at 5.4515/4607 from 5.4532/4602.  — Bernama

Source: The Malay Mail Online

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