HEADLINES

Ringgit eyes RM3.87 support, RM3.65 possible with bullish momentum: economist

Uncertainty over US tariff policies are helping the local note which touched an eight-year high of RM3.88 at today’s opening

11:55 AM MYT

 

KUALA LUMPUR — The ringgit may attempt to breach the immediate support level of RM3.87, with the next support level at RM3.65, as bullish momentum persists amid renewed uncertainty surrounding Washington’s tariff policies, said an economist.

The ringgit rose to an eight-year high of 3.8835/9065 against the US dollar at today’s opening, up from 3.8995/9055 at last Friday’s close.

The currency last touched this level on Feb 2, 2018, at 3.8830/8870.

“Amid the uncertainties, the ringgit should remain resilient,” Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid told Bernama.

He explained that the US import tariff is back on traders’ radar following the Supreme Court decision that US President Donald Trump does not have the constitutional authority to impose sweeping global tariffs under the International Emergency Economic Powers Act (IEEPA).

Trump remains adamant about imposing tariffs using different laws, while some trading partners have indicated that they would halt the US trade deal ratification process, he added.

On Feb 20, the US Supreme Court struck down Trump’s IEEPA-based tariffs, including his reciprocal tariffs.  

He then announced plans to raise the global tariff from 10 per cent to 15 per cent on Saturday, following the court ruling that invalidated most of his previous trade measures.

Echoing Mohd Afzanizam’s view, IPPFA Sdn Bhd director of investment strategy and country economist Mohd Sedek Jantan said the local note’s strength was supported by position unwinding and improved global risk sentiment, as markets reassess US growth momentum.

“Geopolitical tensions, such as US–Iran risks, also contribute to cautious positioning and periodic risk-off moves, which can temper safe-haven demand for the dollar and help support some emerging market currencies, including the ringgit,” he said. – February 23, 2026

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