Kuala lumpur: The ringgit ended the day slightly lower against the US dollar as the greenback gained strength amid renewed optimism for a potential trade agreement between the United States and China, noted an economist. At the market close at 6 pm, the local currency eased to 4.2280/2315 against the US dollar, compared to 4.2240/2275 at the close on Friday.

According to BERNAMA News Agency, Dr. Mohd Afzanizam Abdul Rashid, chief economist at Bank Muamalat Malaysia Bhd, highlighted that the upcoming meeting between US President Donald Trump and Chinese President Xi Jinping in South Korea next week has captured the attention of investors. President Trump has indicated that his administration aims to reach a fair deal with China, suggesting that a more favorable trade outcome could be forthcoming. This development is currently perceived as positive for the US dollar, he informed Bernama.

He further elaborated that the ringgit hovered between RM4.2200 and RM4.2288 against the US dollar today, reflecting the generally stronger performance of the greenback. Despite the ringgit's decline against the US dollar, it closed higher against other major currencies. It advanced against the British pound, moving to 5.6592/6639 from 5.6741/6788, strengthened against the euro to 4.9134/9174 from 4.9421/9462, and gained against the Japanese yen to 2.7851/7875 from 2.8218/8244 at Friday's close.

Regarding ASEAN currencies, the ringgit showed a mixed performance. It appreciated against the Singapore dollar, reaching 3.2598/2628 from 3.2635/2665, and improved against the Thai baht to 12.9048/9218 from 12.9301/9471 previously. Conversely, it slipped against the Indonesian rupiah to 254.8/255.2 from 254.6/254.9, and remained flat against the Philippine peso at 7.26/7.27 compared to last week's close.