Ringgit extends gains against US dollar in early session

KUALA LUMPUR: The ringgit strengthened against the US dollar in the early session today on the back of a generally better tone in the global risk market, said an analyst.

At 9.04am, the local note was pegged at 4.3000/3100 against the greenback compared with Thursday’s closing of 4.3300/3400.

AxiCorp global chief market strategist Stephen Innes said the US dollar funding pressure was an absolute boon for the ringgit.

“The fall in oil prices provided Malaysia with fewer petrodollars per barrel, and these oil dollars are usually considered a stabiliser for the ringgit,” he said in a note today.

Against the Singapore dollar, the domestic unit rose to 3.0005/0085 from 3.0069/0149 at Thursday’s close but depreciated against the British pound to 5.2348/2500 from 5.1601/1737 yesterday.

The ringgit fell against the yen to 3.9457/9559 from 3.9342/9444 and declined against the euro to 4.7451/7569 from 4.7396/7510.