Kuala lumpur: The ringgit briefly touched the 3.99 psychological level against the US dollar at 2.27 pm today. The local currency strengthened to 3.9992 versus the greenback, marking its strongest level in more than seven years. It was last observed at this level on June 18, 2018, at 3.9960/9990.

According to BERNAMA News Agency, economists had earlier predicted that the ringgit would trade within a certain range in the first half of 2026, before showing signs of strengthening towards the 3.94 level against the US dollar in the latter half of the year. This anticipated strengthening is expected to be supported by Malaysia's economic outlook.

Economists also noted that anticipated rate cuts by the United States Federal Reserve, alongside other US-centric issues, were likely to contribute to the weakening of the greenback, thereby impacting the exchange rate dynamics.