The Malaysian ringgit is expected to remain under pressure in the near term as a stronger U.S. dollar and global economic uncertainty continue to weigh on emerging-market currencies, MBSB Research says in a note. It expects safe-haven demand for the dollar and higher U.S. interest rates to keep downward pressure on the Malaysian currency. Still, the Southeast Asian country's resilient economic growth, healthy foreign direct investment inflows, strong exports and a wider trade surplus should help limit the local currency's further weakness, MBSB Research adds. It expects the dollar to average around 4.01 ringgit in 2026, compared with 3.92 ringgit previously forecast. The dollar is 0.3% lower at 4.0580 ringgit. (yingxian.wong@wsj.com)
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Malaysian Ringgit Looks Under Pressure — Market Talk
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The Malaysian ringgit is expected to remain under pressure in the near term as a stronger U.S. dollar and global economic uncertainty continue to weigh on emerging-market currencies, MBSB Research says in a note. It expects safe-haven demand for the dollar and higher U.S. interest rates to keep dow…