The ringgit reached its lowest level since January 1998 with a severe downturn experienced by many of the national currency is growing rapidly, following the announcement by the United States (US) to continue to raise interest rates during the year 2017.
During the closing today, the ringgit was at RM4.4775 against the US dollar (US), thereby overcoming RM4.4770 level recorded in September 2015, which at that time was considered the lowest level since 1998 Malaysian currency.
Fate was not in favor of some other major Asian currencies such as the Singapore dollar fell to S $ 1.4481 against the US dollar, which ranked worst in seven years. Meanwhile, the Chinese yuan traded at 6.9493 against the dollar to its lowest level since May 2008.
Obviously Chief Market Strategic FXTM, Sayed Hussein, the US Federal Reserve (the US) which announced an increase in interest rates on Wednesday the country’s second time in the last decade has affected stock markets, currencies and global commodity prices.
“The announcement of the US to raise interest rates on Wednesday the market is not so surprising as it was to be expected.
“But expectations that the country is likely to want to do three times more interest rate hikes during 2017 has triggered a reaction to demand for the dollar and US bonds,” he said in a statement.
Source : Internet