Bank Muamalat Malaysia Bhd chief economist Afzanizam Abdul Rashid said market players are focussing on US Federal Reserve (Fed) chair Jerome Powell’s speech at tonight’s symposium.

“Traders are looking for clues on whether the Fed will cut the interest rate in the next federal open market committee (FOMC) meeting in September.

“The odds for an interest rate cut have been reduced to 74% from more than 80% previously, which shows that markets are still having reservations about whether the Fed would deliver the rate cut,” he told Bernama.

Meanwhile, on the domestic front, Afzanizam noted that Malaysia’s inflation rose 1.2% year-on-year in July 2025, which was broadly in line with expectations, according to the statistics department today.

“The latest consumer price index print showed that inflation is fairly stable, which should be positive for the economy and ringgit,” he added.

At 6pm, the local note inched down to 4.2245/4.2295 against the US dollar from yesterday’s close of 4.2235/4.2275.

At the close, the ringgit settled mostly higher against a basket of major currencies.

It rose versus the euro to 4.8996/4.9054 from 4.9226/4.9263 and inched up vis-à-vis the Japanese yen to 2.8408/2.8443 from 2.8595/2.8626 previously.

It also increased against the British pound to 5.6659/5.6726 from 5.6899/5.6953 yesterday.

Meanwhile, the local note traded higher against other Asean currencies.

It strengthened versus the Singapore dollar to 3.2763/3.2805 from 3.2819/3.2853 at yesterday’s close, gained against the Thai baht to 12.9387/12.9592 from 12.9460/12.9638, and edged up vis-à-vis the Indonesian rupiah to 258.3/258.7 from 259.2/259.6 previously.

However, the ringgit inched down against the Philippine peso to 7.42/7.43 from 7.40/7.42.