Ringgit opens marginally easier against US dollar on first trading day of 2022

by BERNAMA / pic by BLOOMBERG

KUALA LUMPUR – The ringgit opened marginally easier against the US dollar on the first trading day of 2022 amid easing concerns over the COVID-19 Omicron variant, said analysts. 

At 9 am, the local note traded slightly lower at 4.1690/1720 versus the US dollar from 4.1650/1680 at Friday’s close.

According to MIDF Research, although the ringgit closed higher on Friday, with the strongest level in 1.5 months, also drawing support from the increase in oil prices, the local note ended the year -3.5 per cent weaker as growing expectations for policy changes by the US Fed Reserve drove higher demand for the greenback.

As at time of writing, Brent crude was trading 0.9 per cent firmer at US$78.48 per barrel.

AmBank Research, in a note, said the ringgit is expected to trade between its support level of 4.1595 and 4.1625, while its resistance is pinned at 4.1755 and 4.1885.

The ringgit was traded mostly lower against a basket of other major currencies at the close today, except for the Japanese yen.

The local unit dropped marginally versus the Singapore dollar to 3.0918/0952 from Friday’s close of 3.0872/0899, but increased against the Japanese yen to 3.6158/6193 from 3.6186/6212.

It depreciated vis-a-vis the British pound to 5.6344/6401 from 5.6277/6318 on Friday, and weakened against the euro to 4.7360/7411 from 4.7194/7228.