Kuala lumpur: The ringgit opened steadily at 3.96 against the US dollar this morning, as discussions of potential currency intervention by the United States and Japanese authorities gained momentum. At the 8 am opening, the ringgit traded at 3.9650/9750, slightly up from yesterday's closing rate of 3.9615/9670, a level last observed in May 2018.

According to BERNAMA News Agency, Bank Muamalat Malaysia's chief economist, Dr Mohd Afzanizam Abdul Rashid, suggested that the ringgit could appreciate further today due to the weaker US dollar. The Japanese yen also showed gains against the US dollar, bolstered by the heightened talks of possible intervention. Concurrently, spot gold prices continued their upward trend, increasing by 1.04 percent to US$5,060.64 per ounce, contributing to a softer US dollar, with the US dollar index (DXY) dropping 0.57 percent to 97.040 points.

Dr Mohd Afzanizam noted that as the ringgit maintained its upward trend from the previous day, there is potential for further appreciation amid the ongoing weakness of the US dollar. The ringgit exhibited varied performance against other currencies: it weakened against the British pound to 5.4217/4354 from 5.4166/4241, eased against the euro to 4.7076/7195 from 4.6999/7064, and slightly rose against the Japanese yen to 2.5683/5750 from 2.5783/5820.

Further analysis reveals that the ringgit strengthened against the Singapore dollar, advancing to 3.1201/1282 from 3.1242/1288, and against the Thai baht to 12.6953/7343 from 12.7441/7679. It slipped against the Indonesian rupiah to 236.2/236.9 from 236.0/236.4 and remained virtually unchanged against the Philippine peso at 6.72/67.4 from 6.72/6.73 previously.