Pix: Free Malaysia TodayKUALA LUMPUR: The ringgit strengthened against the US dollar in early trading Friday on optimism over the third quantitative easing in the US to spur regional economy, dealers said.
At 9 am, the ringgit was traded at 3.0540/0570 against a US dollar from 3.0790/0820 yesterday.
A dealer said traders are anticipating the quantitative easing to increase demand for riskier emerging markets.
Yesterday, the US' Federal Open Market Committee voted in favour of a third round of quantitative easing to help improve the struggling labour market.
The United States will spend US$40 billion a month to buy mortgaged-back securities with the intention to lower long-term interest rates and spur borrowing and spending.
The ringgit was also traded higher against other major currencies.
The local currency firmed against the Singapore dollar to 2.4912/4957 from yesterday's 2.5037/5067 and appreciated against the Japanese yen to 3.9335/9384 from 3.9627/9670 Thursday.
The ringgit also rose against the British pound to 4.9334/9395 from 4.9615/9676 Thursday and gained against the euro to 3.9665/9720 from 3.9778/9819 yesterday.