THE ringgit rebounded against the US dollar at opening amid tepid market sentiment as investors anticipate another quarter-point increase in the US Federal Reserve funds rate at the Federal Open Market Committee meeting.

At 9am, the ringgit rose to 4.7770/7810 against the greenback from yesterday’s close of 4.7855/7885.

Bank Muamalat Malaysia Bhd chief economist Mohd Afzanizam Abdul Rashid said the US Dollar Index was higher by 0.07% to 106.6.02 points.

“The third-quarter 2023 US GDP growth was surprisingly stronger-than-expected at 4.9% quarter-on-quarter (consensus: 4.3%) with investment surging 8.4% (Q2: 5.2%) alongside strong out-turn in consumer spending, which gained 4% from 0.8% in the prior quarter,” he said.

In early trade, the ringgit was mostly higher versus a basket of major currencies.

It edged up against the Japanese yen to 3.1766/1795 from yesterday’s close of 3.1838/1860, increased marginally against the euro to 5.0436/0478 from 5.0468/0500, but weakened versus the British pound to 5.7931/7979 from 5.7847/7883.

The local note was also traded mostly higher against other Asean currencies.

It rose against the Singapore dollar to 3.4871/4903 from 3.4900/4925 yesterday, strengthened against the Thai baht to 13.1867/2028 from 13.1952/2097 and was slightly higher versus the Philippine peso at 8.39/8.41 from 8.40/8.41.

The ringgit was almost flat against the Indonesian rupiah at 300.0/300.4, compared with 300.5/300.9 yesterday. – Bernama, October 27, 2023.