Kuala lumpur: The ringgit ended slightly lower against the US dollar on Thursday, as the US Dollar Index (DXY) remained elevated. Investors were cautious ahead of an anticipated speech by US Federal Reserve Chair Jerome Powell, further compounded by the uncertainty surrounding a potential federal government shutdown in the United States.

According to BERNAMA News Agency, the local currency eased to 4.2145/2185 against the US dollar at 6 pm, compared to Wednesday's close of 4.2140/2195. Bank Muamalat Malaysia Bhd chief economist Dr. Mohd Afzanizam Abdul Rashid mentioned that Fed Chairman Jerome Powell's upcoming speech might provide insights into the US central bank's perspective on growth risks amid the ongoing government shutdown.

Dr. Mohd Afzanizam highlighted that the USD/MYR traded within a narrow range between RM4.21 and RM4.22. He noted that regional currencies showed mixed performances, indicating a lack of strong trading conviction. He suggested that Malaysia's Budget 2026 could play a role in stabilizing the ringgit, as the government aims to continue its efforts to reduce the budget deficit in the coming year.

At the day's end, the ringgit mostly weakened against a range of major currencies. It fell against the euro to 4.8988/9044 from 4.8941/9005, and against the Japanese yen to 2.7625/7653 from 2.7559/7596. However, it recorded an increase against the British pound, climbing to 5.6420/6473 from 5.6501/6575.

In terms of ASEAN currencies, the ringgit showed mixed results. It gained against the Thai baht to 12.9323/9505 from 12.9506/9739 and rose against the Philippine peso to 7.23/7.24 from 7.27/7.28. Conversely, it slipped against the Singapore dollar to 3.2534/2568 from 3.2503/2548, and remained nearly unchanged against the Indonesian rupiah at 254.3/254.7 from 254.2/254.7.