Ringgit rebounds to close higher against US dollar

KUALA LUMPUR: The ringgit rebounded from yesterday’s losses to end higher against the US dollar today, as growing optimism on the US-China trade negotiations drove investors away from safe-haven currencies, dealers said.

At 6pm, the ringgit was quoted at 4.1225/1255 against the greenback from 4.1350/1380 on Wednesday.

A dealer said that China’s Commerce Ministry’s spokesperson today said that Beijing had agreed with Washington to lift existing trade tariffs between the two nations in phases.

“Both sides had agreed to simultaneously cancel some existing tariffs on each other’s goods,” he said, adding this positive development had boosted investors’ optimism and improve market sentiment, thus reducing demand for safe-haven currencies.

A news report quoted the ministry spokesperson as saying that China and the US were closer to a “phase one” trade agreement following constructive negotiations over the past two weeks.

Meanwhile, the local note traded higher against other major currencies.

The ringgit strengthened against the Singapore dollar to 3.0382/0408 from 3.0434/0460 on Wednesday and went up against the yen to 3.7797/7828 from 3.7946/7984.

It appreciated against the British pound to 5.3036/3095 from 5.3275/3331 and increased versus the euro to 4.5661/5706 from 4.5861/5899. – Bernama

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