# Fed's rate hike decision further bolsters ringgit

> The ringgit opened higher on June 16 after the Federal Reserve raised its benchmark rate by 75 basis points to 1.50%-1.75%. Bank Islam's chief economist expects the Fed funds rate to reach 3.50% by year-end. US equities rebounded and Treasury yields rose after the decision.

- Date: 2022-06-16 · published 2022-06-16T12:00:00.000Z
- Category: macro · region US · magnitude medium
- Page: https://feedsoft.ai/events/41233-fed-s-rate-hike-decision-further-bolsters-ringgit
- Commodities: [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md), [Malaysian Ringgit (MYR per USD)](https://feedsoft.ai/c/USDMYR.md)

## Why it matters

The Fed's aggressive tightening strengthens the dollar against emerging-market currencies, which raises the local cost of dollar-priced feed imports. Expectations of a slower pace of hikes could ease this pressure later.

## Read by commodity

- DXY: bullish ▲
- USDMYR: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2018-09-28 | [Ringgit, KLCI down after US interest-rate hike](https://feedsoft.ai/events/63304-ringgit-klci-down-after-us-interest-rate-hike.md) | +0.6% | +1.3% |
| DXY | 2025-07-31 | [USD/JPY rallies further, nears 150.00 on the aftermath of BoJ’s decision](https://feedsoft.ai/events/24007-usd-jpy-rallies-further-nears-150-00-on-the-aftermath-of-boj-s-decision.md) | -0.7% | -0.6% |
| DXY | 2026-05-18 | [Euro declines as risk aversion, Fed rate hike odds increase](https://feedsoft.ai/events/19477-euro-declines-as-risk-aversion-fed-rate-hike-odds-increase.md) | +0.0% | +0.0% |
| DXY | 2019-07-29 | [Ringgit falls on stronger dollar direction, markets await Fed decision](https://feedsoft.ai/events/58342-ringgit-falls-on-stronger-dollar-direction-markets-await-fed-decision.md) | +0.6% | +1.5% |
| DXY | 2024-12-19 | [Fed's hawkish cut fires up rate hike debate](https://feedsoft.ai/events/27137-fed-s-hawkish-cut-fires-up-rate-hike-debate.md) | +0.5% | +1.4% |

## Sources

- themalaysianreserve.com: https://themalaysianreserve.com/2022/06/16/feds-rate-hike-decision-further-bolsters-ringgit-2/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.