Ringgit eases against greenback amid rising oil prices
Against a backdrop of rising oil prices, expectations of a US Federal Reserve rate hike and a possible Bank of Japan hike, markets remain anxious, says an analyst.
KUALA LUMPUR: The Malaysian ringgit experienced a decline against the US dollar on Tuesday, as higher crude oil prices and uncertainty surrounding the Federal Reserve’s policy decision weighed on the currency, according to analyst Afzanizam Abdul Rashid of Bank Muamalat Malaysia Bhd. The ringgit fell to 4.0605/4.0640 per US dollar from Monday’s closing rate of 4.0440/4.0485.
Rashid noted that the elevated oil prices bolster the argument for a potential Federal Reserve rate hike later in the week, while other Asian currencies showed mixed performance due to expectations of a Bank of Japan rate increase. Overall, market sentiment remained cautious about the Fed’s next move. By the end of the day, the ringgit weakened against a range of major currencies, including the euro, British pound, Japanese yen, Philippine peso, Singapore dollar, Thai baht, and Indonesian rupiah.
Written by urgent.news from Free Malaysia Today's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
