Ringgit rises against the greenback
SPI Asset Management's Innes saidthe sustained ceasefire between Israel and Iran has dampened safe-haven demand for the US dollar.
KUALA LUMPUR: The ringgit ended firmer yesterday, supported by easing geopolitical tensions and weaker US economic data that continues to pressure the greenback.
At 6pm, the local currency rose to 4.2335/2405 versus the greenback from Tuesday's close of 4.2410/2465. SPI Asset Management managing partner Stephen Innes said that the sustained ceasefire between Israel and Iran has dampened safe-haven demand for the US dollar.
'In addition, the United States consumer confidence index deteriorated by 5.4 points in June, falling to 93.0 from 98.4 in May,' he told Bernama.
Innes said that Federal Reserve chair Jerome Powell's recent cautious remarks, interpreted as keeping the door open to a possible rate cut, had pushed US treasury yields lower, providing some relief to Asian currencies.
'Although trading remained subdued, the ringgit held on to modest gains at the close,' he added. At the closing, the ringgit traded higher against a basket of major currencies. It appreciated against the yen at 2.9070/9120 from 2.9256/9296 and escalated versus the pound to 5.7631/7726 from 5.7707/7782.
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