KUALA LUMPUR (Jan 7): The ringgit weakened against the US dollar at the opening this morning as markets weighed the political and Covid-19 situation in Malaysia, as well as recent updates in the US, a dealer said.
At 9am, the local currency eased to 4.0130/0190 versus the greenback from yesterday’s close at 4.0080/0130.
Commenting on the US dollar’s performance, Axi chief global market strategist Stephen Innes said the market was considering the best laid plans for a Blue Wave (Democrats) sweep, where the concensus was for the US dollar to weaken, especially against higher commodity beta currencies like the ringgit.
“But I suspect some darker clouds of uncertainty over the domestic political landscape and omnipresent local Covid-19 concerns could dampen enthusiasm,” he told Bernama. – The Edge Markets