Ringgit ends higher on improved market sentiment

KUALA LUMPUR: The Malaysian ringgit ended at a higher value against the US dollar on Thursday, driven by enhanced market sentiment. This sentiment boost resulted from a fresh momentum in talks between the United States and Iran, putting downward pressure on oil prices. Bank Muamalat Malaysia Bhd chief economist Afzanizam Rashid attributed the improved market sentiment to indications that US President Donald Trump might meet Iranian President Masoud Pezeshkian during the United Nations General Assembly this week.

"Market sentiment has improved somewhat, leading to the appreciation of emerging market currencies, including the ringgit," he informed Bernama.

By the end of the trading day at 6pm, the ringgit rose to 4.0755/4.0800 against the US dollar from Friday’s closing rate of 4.0795/4.0840. The local currency performed relatively well against other major currencies, trading mainly higher against the euro, gaining from 4.6849/4.6901 to 4.6783/4.6834, and advancing against the British pound, moving from 5.4543/5.4603 to 5.4542/5.4603. However, the ringgit declined against the Japanese yen, falling from 2.5829/2.5860 to 2.5916/2.5946.

The Malaysian ringgit's performance against its ASEAN counterparts was mixed. It appreciated against the Philippine peso, rising from 6.50/6.51 to 6.49/6.50, and strengthened against the Indonesian rupiah, increasing from 229.7/230.0 to 228.3/228.6. Conversely, the ringgit weakened against the Singapore dollar, falling from 3.1933/3.1971 to 3.1950/3.1987, and declined against the Thai baht, moving from 12.2383/12.2562 to 12.2450/12.2637.