Ringgit ends firmer against most currencies, eases against US dollar
External developments, particularly the sharp rise in crude oil prices, continued to influence market sentiment, says analyst.
On Friday, the Malaysian ringgit strengthened against most major and regional currencies, though it weakened against the US dollar. This shift was driven by surging crude oil prices and expectations of a potential interest rate increase by the US Federal Reserve, which bolstered the greenback. By 6pm, the ringgit fell to 4.0685/4.0725 against the dollar from the previous day's close of 4.0630/4.0670.
Bank Muamalat Malaysia Bhd chief economist Afzanizam Rashid attributed the market's sentiment to external factors, specifically the surge in crude oil prices due to heightened geopolitical tensions between the US, Israel, and Iran. Brent crude oil prices reached around US$104.64 per barrel, while the anticipation of an interest rate hike by the Fed contributed to the US dollar's strength.
Moving forward, market focus would shift towards the Fed's interest rate decision and economic projections, including GDP growth, inflation, unemployment, and the federal funds rate. By the close of trading, the ringgit traded higher against a basket of major currencies, including the euro, Japanese yen, British pound, and regional currencies such as the Singapore dollar, Thai baht, Indonesian rupiah, and Philippine peso.
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.
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