News & Articles Ringgit may touch RM3.75 mark
Ringgit may touch RM3.75 mark
21 Mar 2015
The ringgit is likely to depreciate further to around RM3.75 next week on a firmer US dollar and weakening commodity prices.
Affin Hwang Investment Bank retail research head and vice president Datuk Dr Nazri Khan said reactions from bond investors to a potential downgrade by Fitch and Moody’s also caused the softening of the ringgit.
"However, I still believe that the local note is extremely undervalued and it does not reflect on our economic fundamentals."
For the week just ended, the ringgit was traded lower dampened by concerns over the US Federal Reserve raising interest rates.
Some analysts have predicted that the US interest rates will be raised in the middle of the year for the first time in eight years, which might affect the local note and other emerging Asian currencies.
For the week just ended, the ringgit touched a six-year low yesterday at 3.72 against the greenback following February inflation data that showed the lowest in more than five years.
On a Friday-to-Friday basis, the ringgit depreciated to 3.7255/0285 against the US dollar from 3.6840/6870 previously.
It fell to 2.6825/6849 against the Singapore dollar from 2.6584/6623 last week and slid to 3.0802/0837 against the yen from 3.0343/0373 last Friday.
Against the British pound, the ringgit eased to 5.4932/4988 from 5.4807/4874 and was traded lower against the euro at 3.9811/9858 from 3.9117/9156.
Affin Hwang Investment Bank retail research head and vice president Datuk Dr Nazri Khan said reactions from bond investors to a potential downgrade by Fitch and Moody’s also caused the softening of the ringgit.
"However, I still believe that the local note is extremely undervalued and it does not reflect on our economic fundamentals."
For the week just ended, the ringgit was traded lower dampened by concerns over the US Federal Reserve raising interest rates.
Some analysts have predicted that the US interest rates will be raised in the middle of the year for the first time in eight years, which might affect the local note and other emerging Asian currencies.
For the week just ended, the ringgit touched a six-year low yesterday at 3.72 against the greenback following February inflation data that showed the lowest in more than five years.
On a Friday-to-Friday basis, the ringgit depreciated to 3.7255/0285 against the US dollar from 3.6840/6870 previously.
It fell to 2.6825/6849 against the Singapore dollar from 2.6584/6623 last week and slid to 3.0802/0837 against the yen from 3.0343/0373 last Friday.
Against the British pound, the ringgit eased to 5.4932/4988 from 5.4807/4874 and was traded lower against the euro at 3.9811/9858 from 3.9117/9156.
Source: The Rakyat Post