Ringgit continues downtrend at close

KUALA LUMPUR: The ringgit ended lower against the US dollar today in line with most emerging Asian currencies, following the escalation of the US-China trade war, said a dealer.

At 6pm, the ringgit finished at 4.1640/1670 against the greenback from yesterday’s close of 4.1560/1590.

The dealer said the continuous trade war risk would likely cause a further weakening of China’s yuan performance and by extension could weaken the ringgit due to its very tight correlation.

China’s yuan slipped to a new two-week low in overnight trading after US President Donald Trump threatened to raise new tariffs on Chinese imports if ongoing trade negotiations fail.

“At the moment, more investors have shifted their interest towards safe-haven currencies,” the dealer said.

The local note also traded mostly lower against other major currencies.

The ringgit was weaker against the Singapore dollar at 3.0579/0613 from 3.0534/0567 on Tuesday, depreciated against the yen to 3.8399/8437 from 3.8202/8240 and fell against the euro to 4.6066/6104 from 4.5990/5040.

However, the local note went up vis-a-vis the British pound to 5.3749/3808 from 5.3829/3884. – Bernama

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