Ringgit Closes Easier Against US Dollar as War Uncertainty Keeps Investors on Edge
KUALA LUMPUR, April 2 (Bernama) -- The ringgit closed easier against the US dollar today after gaining ground yesterday, with market sentiment remaining cautious amid President Trump’s unpredictable stance on the US-Iran conflict, leading to constant changes in risk appetite among traders and investors.
At 6 pm, the local currency weakened to 4.0365/0430 against the greenback from Wednesday’s close of 4.0240/0295.
Bank Muamalat Malaysia Bhd chief economist Mohd Afzanizam Abdul Rashid said the US dollar index (DXY) gained traction, rising 0.47 per cent to 100.122 points.
“Brent crude prices went up as Trump’s prime-time address suggested no resolution to the war as he pledged more aggression towards Iran in the next two weeks to three weeks and no plans to facilitate the reopening of the Straits of Hormuz,” he told Bernama.
At the time of writing, the benchmark Brent crude oil price rose 7.56 per cent to US$108.7 per barrel.
At the close, the ringgit traded higher against a basket of major currencies.
It strengthened against the British pound to 5.3278/3364 from 5.3507/3580 at yesterday’s close, traded better versus the Japanese yen to 2.5295/5337 from 2.5358/5394 previously, and improved vis-a-vis the euro to 4.6517/6592 from 4.6666/6730.
The local currency traded mixed against ASEAN currencies.
It was marginally higher versus the Singapore dollar to 3.1364/1417 from 3.1369/1414 at Wednesday’s close and improved against the Philippine peso to 6.66/6.68, as compared with 6.68/6.69 yesterday.
However, it fell versus the Indonesian rupiah to 237.4/237.9 from 236.9/237.3, weakened to 12.3180/3447 against the Thai baht from 12.2726/2926 at yesterday’s closing.
The regional currencies were also weaker against the US dollar.
-- BERNAMA