Ringgit opens slightly higher against greenback, major currencies

KUALA LUMPUR: On Tuesday, the ringgit opened marginally higher against the US dollar and a selection of significant currencies, buoyed by ongoing geopolitical uncertainties favoring defensive strategies. By 8am, the ringgit had climbed to 4.0800/0865 against the greenback from Monday's close of 4.0805/0845. Dr Mohd Afzanizam, the chief economist at Bank Muamalat Malaysia Bhd, pointed out that Brent crude oil remained above $106 per barrel due to the ongoing US-Iran standoff, which kept concerns over energy-induced inflation in the spotlight.

He informed Bernama that higher US yields, with the two-year and 10-year yields at 4.9% and 5.2% respectively, made US dollar assets more appealing and potentially reduced demand for emerging-market currencies, including the ringgit. At the opening, the ringgit traded at a higher level against a range of major currencies, with an increase against the euro to 4.6390/6464, a rise against the British pound to 5.4072/4158, and a gain against the Japanese yen to 2.5928/5971.

However, against Asean currencies, the local note weakened against the Singapore dollar to 3.1937/1991 and remained unchanged against the Philippine peso at 6.52/6.54. It also stayed flat against the Indonesian rupiah at 226.9/227.3.