Kuala lumpur: The ringgit is expected to trade within the RM3.90 to RM3.95 range against the US dollar next week as anticipation builds for the upcoming meeting between US President Donald Trump and Chinese President Xi Jinping. This meeting could play a crucial role in stabilizing strained relations between the two countries, which have been impacted by trade tensions, the Taiwan issue, and the ongoing Iran conflict.

According to BERNAMA News Agency, Trump is set to meet Xi in Beijing as part of efforts to de-escalate tensions. Bank Muamalat Malaysia Bhd's chief economist, Mohd Afzanizam Abdul Rashid, noted that investors are hopeful the meeting will contribute to easing the US-Iran conflict, which remains a primary concern that could influence market trends unpredictably.

Domestically, attention is focused on Malaysia's first quarter of 2026 GDP data, which is expected to be released by Bank Negara Malaysia and the Department of Statistics Malaysia on May 15. Reports suggest that Malaysia's GDP is on track to achieve a 5.3 percent growth in the first quarter, driven by widespread expansion in sectors such as manufacturing, services, and construction.

The local market observed a public holiday on May 1 for Labour Day. At the close of the previous week, the ringgit was higher against the US dollar at 3.9185/9230 compared to 3.9690/9740 the week prior.

The ringgit also showed gains against a range of major currencies. It strengthened against the British pound, appreciated against the euro, but slightly declined against the Japanese yen. Regionally, the ringgit performed well against ASEAN currencies, gaining against the Thai baht, Indonesian rupiah, and Singapore dollar, though it saw a slight decrease against the Philippine peso.