Ringgit closes sharply higher against US dollar

The ringgit closed sharply higher against the US dollar on improved risk appetite for Asian currencies, said a dealer.

The ringgit strengthened after Bank Negara Malaysia hinted that it may need to tighten its monetary policy soon to counter a "continued build-up of financial imbalances".

At 5pm, the local ringgit strengthened 85 basis points to 3.2275/2305 against the greenback from Thursday's 3.2360/2390 and it was also higher against other major currencies.

The local note rose against the Singapore dollar to 2.5849/5894 from yesterday's 2.5932/5958 and soared 512 basis point versus the euro to 4.4585/4639 from 4.5097/5145 yesterday.

The unit appreciated against the yen to 3.1714/1749 from 3.1782/1820 yesterday while the domestic currency gained against the British pound to 5.4554/4612 from 5.4879/4953 on Thursday. – Bernama, May 9, 2014.