Kuala Lumpur: The ringgit closed higher against the US dollar ahead of US President Donald Trump’s inauguration today, said an economist. At 6 pm, the ringgit strengthened versus the greenback to 4.4910/4960 from last Friday’s closing of 4.5040/5085.

According to BERNAMA News Agency, Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid stated that following the inauguration, traders and investors would closely monitor the executive orders typically announced by the newly elected president. Key issues such as import tariffs and the mass deportation of illegal immigrants are expected to be under scrutiny.

The financial community is particularly interested in Trump’s economic and foreign policies, which are anticipated to significantly impact the global economy and financial market volatility. Meanwhile, Mohd Afzanizam noted that the ringgit’s performance was also buoyed by Malaysia’s trade, which reached an all-time high of RM2.88 trillion in 2024, a 9.2 percent increase year-on-year, marking the fourth consecutive year of exceeding the RM2 trillion mark. Exports rose 5.7 percent to RM1.51 trillion, while imports grew by 13.2 percent year-on-year to RM1.371 trillion.

At the close, the ringgit was higher against other major currencies. It inched up against the euro to 4.6307/6358 from last Friday’s close of 4.6382/6429, appreciated against the British pound to 5.4723/4784 from 5.4953/5008, and strengthened marginally versus the Japanese yen to 2.8741/8774 from 2.8918/8949 previously.

Meanwhile, the local note traded mostly higher against ASEAN currencies. It edged up against the Indonesian rupiah at 274.3/274.8 from 274.9/275.3 last Friday, improved against the Singapore dollar to 3.2899/2938 from 3.2948/2983, and advanced against the Philippine peso to 7.67/7.68 from 7.68/7.69 previously. However, the ringgit slid against the Thai baht to 13.0948/1155 from 13.0664/0856 last Friday.