Kuala Lumpur: The ringgit closed lower on Monday as traders and investors maintained a cautious stance ahead of the United States Federal Open Market Committee (FOMC) meeting set to commence on Tuesday, an analyst reported. At the close of business at 6 pm, the ringgit fell to 4.4450/4490 against the US dollar, compared to last Friday’s closing rate of 4.4410/4455.

According to BERNAMA News Agency, Bank Muamalat Malaysia Bhd’s chief economist, Dr. Mohd Afzanizam Abdul Rashid, highlighted several influences on the market’s defensive posture. Weaker economic data in the US, ongoing geopolitical uncertainties in Europe and the Middle East, and China’s renewed focus on boosting consumption have all contributed to the current market sentiment. He noted that the US dollar-ringgit exchange rate began the day strong at RM4.4342 during the morning session but gradually depreciated to RM4.4473 in the afternoon. Dr. Mohd Afzanizam remarked that the ringgit appears to be testing its immediate resistance level.

Additionally, the ringgit’s performance against other major currencies reflected its overall decline. The local currency weakened against the euro, dropping to 4.8455/8499 from 4.8194/8243 the previous Friday. It also fell against the British pound and the Japanese yen, with exchange rates of 5.7576/7628 and 2.9896/9925, respectively, compared to Friday’s rates.

In terms of ASEAN currencies, the ringgit showed mixed results. It eased against the Singapore dollar and the Thai baht, with rates of 3.3351/3383 and 13.2213/2391, respectively. However, the ringgit edged up slightly against the Indonesian rupiah to 270.9/271.2 and remained marginally lower against the Philippine peso at 7.76/7.77.