SPI Asset Management managing partner Stephen Innes said after opening stronger due to the milder US consumer price index (CPI) print, the 3% headline inflation has forex traders debating whether the US Federal Reserve (Fed) could even consider rate cuts this year.

“Although bond and stock markets have recovered, the spillover to the forex market has been relatively weak.

“This muted response is likely tied directly to the ongoing Donald Trump tariff threat on China, keeping forex traders in a state of flux,” he told Bernama.

Innes said the overarching question casting a shadow over the markets is whether Trump would embody the “Deal Maker in Chief” or revert to his “Tariff Man” persona.

“This uncertainty keeps traders vigilant, constantly assessing shifts in the policy landscape,” he added.

At 6pm, the ringgit went down to 4.5005/4.5050 against the greenback from yesterday’s close of 4.4970/4.5010.

At the close, the ringgit was mostly higher against other major currencies.

It advanced vis-a-vis the euro to 4.6283/4.6329 from yesterday’s close of 4.6364/4.6405, appreciated against the British pound to 5.4888/5.4943 against 5.4949/5.4998 yesterday, but fell versus the Japanese yen to 2.8914/2.8945 from 2.8656/2.8685.

Meanwhile, the local currency was traded mixed against Asean currencies.

It depreciated against the Thai baht to 12.9941/13.0127 from 12.9503/12.9682 at the previous close and appreciated against the Indonesian rupiah to 274.7/275.2 from 275.4/275.8 yesterday.

The ringgit appreciated against the Singapore dollar to 3.2906/3.2941 from 3.2909/3.2943 but was lower against the Philippine peso at 7.68/7.69 from 7.67/7.68.