Ringgit opens firmer against US Dollar, supported by oil prices

by BERNAMA / pic by MUHD AMIN NAHARUL

KUALA LUMPUR – The ringgit extended its firmer position from last Friday to open better against the US dollar, supported by higher oil prices, analysts said. 

At 9.04 am, the local note stood at 4.1985/2030 versus the greenback compared with 4.2005/2040 yesterday.

An analyst said Brent crude remained above the US$100 per barrel, trading currently 4.0 per cent higher at US$101.85 per barrel.

“While most emerging market currencies are easing against the US dollar due to its safe-haven attributes following the intensified conflict in Ukraine, the ringgit bucked the trend, thanks to better oil prices which also led to increased foreign fund flow into the country,” she told Bernama.

According to an MIDF Research Fund Flow report, international funds have so far this year been net buyers on Bursa Malaysia for six out of eight weeks.

Foreign investors and local retailers were net buyers for the week ended Feb 25, which saw net inflow amounted to RM867.7 million, on the back of favour for commodities players; plantation and energy sectors.

Meanwhile, the ringgit was traded higher against a basket of other major currencies.

It gained versus the Singapore dollar to 3.0910/0948 from 3.1016/1044 at the close last Friday, and appreciated vis-a-vis the British pound to 5.6147/6207 from 5.6177/6224.

The local currency improved against the yen to 3.6322/6364 from 3.6422/6455 and increased against the euro to 4.6935/6985 from 4.6966/7005 previously.