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🇲🇾 Malaysia /Economy & Trade

Ringgit Could Fall to RM4.12 if Fed Raises Interest Rates

From Utusan Malaysia · () Malay

Translated from Malay and summarized by DistantNews. Read the original for the full story.

At a glance

News Sources not specified Context piece
  • The ringgit faces a risk of weakening to RM4.08-RM4.12 per US dollar if the Federal Reserve raises interest rates while US inflation stays high.
  • The Malaysian currency could strengthen to RM3.95-RM4 if US inflation falls and the Fed takes a more moderate position.

The ringgit could slide as low as RM4.12 against the US dollar if the Federal Reserve continues raising interest rates while inflation in the United States remains high.

The local currency faces a possible range of RM4.08 to RM4.12 under that scenario. The article also sets out a more favorable path for the ringgit if US inflation begins to decline.

Under that scenario, and if the Fed adopts a more moderate stance, the ringgit could strengthen and test levels between RM3.95 and RM4. The currency’s direction therefore depends on the next signal from US inflation data and the Fed’s response.

About this summary

Originally published by Utusan Malaysia in Malay. Translated, summarized, and contextualized automatically by DistantNews, with a note on how the source frames the story. Not individually reviewed before publishing. How this works.

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