Ringgit To Rebound Slightly Versus Greenback Next Week

By Zairina Zainudin KUALA LUMPUR, July 4 (Bernama) -- The ringgit is expected to appreciate slightly against the US dollar next week on improved buying interest, a dealer said. Malaysia's strong trade performance in May reflected by the 1.3 per cent increase in total trade to RM115.4 billion helped boost the sentiment for the ringgit. The dealer also said sluggish US employment data coupled with Greece's referendum on bailout conditions would help investors focus more on Malaysia's fundamentals. Throughout the week, the ringgit was traded mixed, moving between 3.7480 and 3.7825 as it was under tremendous pressure before the rating announcement by Fitch Ratings Agency. It, however, rebounded on Wednesday after Fitch Ratings Agency upgraded Malaysia's sovereign rating outlook to stable from negative. "The ratings upgrade confirmed that the ringgit is undervalued and Malaysia's public finances are improving and remained steady despite economic challenges on the external front," another dealer said. The momentum, however, turned sideways Thursday due to mild profit taking amid concerns over global commodity prices. On a weekly basis, the ringgit was traded flat against the US dollar at 3.7760/7790 from last Friday's 3.7660/7690. Meanwhile, the local note was traded mixed against other major currencies. It was unchanged against the Singapore dollar to 2.7997/7024 from 2.7996/7020 last Friday and fell marginally versus the yen to 3.0684/0711 from 3.0516/0543 last week. The ringgit, however, rose against the British pound to 5.9000/9054 from 5.9318/9369 and strengthened against the euro to 4.1936/1977 from 4.2194/2235 last Friday. -- BERNAMA