Ringgit Holds Steady As Post Budget Optimism Balances Stronger Greenback

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The local note was unchanged at 4.2200/4.2260 against the US dollar.
KUALA LUMPUR: The ringgit opened flat against the US dollar on Monday morning as investors remained biased towards the greenback, while positive local developments following Budget 2026 helped offset the pressure
Bank Muamalat Malaysia Bhd chief economist Afzanizam Rashid said the recent Budget 2026 announcement showed that the government continues to maintain its fiscal discipline, with the fiscal deficit expected to narrow further to 3.5% of gross domestic product in 2026 from 3.8% this year.
“Perhaps there could be some support for the ringgit after experiencing a correction. The ringgit is expected to hover around RM4.20 to RM4.21 today,” he told Bernama.
At the same time, Afzanizam said the US Dollar Index (DXY) was on a weaker trajectory at 98.978 points, down 0.58% last Friday after US President Donald Trump threatened to raise import tariffs to 100% on all exports from China to the US.
At 8am, the local note was unchanged at 4.2200/4.2260 against the greenback compared with Friday’s close of 4.2200/4.2260.
At the opening, the ringgit was lower against a basket of major currencies.
It eased vis-a-vis the Japanese yen to 2.7756/2.7799 from 2.7618/2.7659 at Friday’s close, slipped against the British pound to 5.6295/5.6375 from 5.6084/5.6164 and fell against the euro to 4.8960/4.9030 from 4.8838/4.8907.
The ringgit was mixed against Asean currencies.
It declined against the Singapore dollar to 3.2524/3.2575 from 3.2494/3.2543 and weakened against the Thai baht to 12.9186/12.9457 from 12.8942/12.9184 at Friday’s close.
However, the ringgit was flat vis-a-vis the Indonesian rupiah at 254.6/255.1 from 254.6/255.1 and remained unchanged against the Philippine peso at 7.24/7.26 from 7.24/7.26. - FMT

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