KUALA LUMPUR: The ringgit opened marginally higher against the US dollar today on weakening demand for the greenback amid volatile sentiment for the local currency, an analyst said.
At 9am, the ringgit improved to 4.0690/0740 against the US dollar, from Monday's close of 4.0700/0740.
Axi chief global market strategist Stephen Innes said the ringgit's recovery from the recent early debt rating downgrade by Fitch Ratings may take time, but the ringgit index, however, is showing that it is struggling to make up lost ground after last week's rally.
"Local risk appetite is also struggling to find direction amid Brexit headlines, rising Covid-19 case counts, and possible further US sanctions on Chinese officials (on the one hand and hopes for US fiscal stimulus and US vaccine approval on the other)," he told Bernama.
The US is preparing to impose sanctions on at least a dozen Chinese officials over their alleged role in Beijing's disqualification of elected opposition legislators in Hong Kong, Reuters reported on Monday.
Meanwhile, the ringgit was traded lower against other major currencies.
It declined against the Singapore dollar to 3.0434/0473 from 3.0403/0442 at Monday's close, and eased vis-a-vis the British pound to 5.4337/4408 from 5.3997/3054.
The ringgit weakened versus the euro to 4.9263/9336 from 4.9210/9275 yesterday, and was lower against the Japanese yen at 3.9099/9150 from 3.9022/9072 previously. - Bernama
