Ringgit opens higher as oil prices soar

KUALA LUMPUR: The ringgit opened higher against the US dollar this morning as oil prices continued to soar.

At 9am, the local currency stood at 4.1350/1410 against 4.1370/1400 recorded at Friday’s closing.

Oanda Head of Trading in Asia-Pacific Stephen Innes said the two primary competing narratives that would impact the ringgit’s performance would be the surging oil prices as well as the higher US interest rates.

“Even though oil prices are high right now, investors still remain cautious about the US dollar’s performance coupled with higher interest rates by the US Federal Reserve,” he told Bernama.

At 9am, the benchmark Brent crude was traded at US$83.01 per barrel.

Meanwhile, the ringgit traded mixed against other major currencies.

It slightly eased against the Singapore dollar to 3.0238/0293 from 3.0232/0263 on Friday and strengthened versus the yen to 3.6320/6382 from 3.6472/6501.

The local currency also declined against the euro to 4.7991/8065 from Friday’s 4.7969/7007 and appreciated vis-a-vis the British pound to 5.3916/3999 from 5.3984/3044.