Kuala lumpur: The ringgit is anticipated to remain stable, buoyed by global conditions, as historical trends suggest the currency’s upward movement may persist through December before a potential slowdown, CIMB Investment Bank Bhd reports.

According to BERNAMA News Agency, the investment bank highlighted that the ringgit typically strengthens in November and December, aligning with year-end export conversions, dividend repatriation, portfolio adjustments, and reduced US dollar trading. This pattern may prolong the ringgit’s current rally, though it could wane in early 2026.

CIMB Investment noted that while the psychological threshold of 4.00 remains within reach, considering the supportive macroeconomic environment, a weaker US dollar, and the ringgit’s momentum, a fair value between 4.10 and 4.20 is more likely. The global environment is favorable for the ringgit, with decreased risks related to tariffs and trade and progress towards resolving the US government shutdown reducing the US dollar’s appeal as a safe haven.

Bank Negara Malaysia (BNM) reported earlier today that the ringgit has remained broadly stable against the US dollar, with a slight appreciation of 0.05 per cent in the third quarter of 2025 and a year-to-date increase of 8.2 per cent as of November 12, 2025. BNM Governor Datuk Seri Abdul Rasheed Ghaffour attributed the ringgit’s movement to both external and domestic factors.

The US Federal Reserve’s monetary policy easing in September, alongside expectations of further rate cuts due to concerns about the US economy, supported the ringgit during the quarter. Additionally, trade agreements announced between the US and several trading partners, including Malaysia, have reduced tariff-related uncertainties and improved sentiment, further bolstering the ringgit’s performance.