Skip to Content

Wednesday, August 12th, 2020

Ringgit ends lower on oil price speculation

by April 21, 2017 General

KUALA LUMPUR, April 21 ― The ringgit ended slightly lower against the US dollar today, pulled down by expectations of lower crude oil prices and in line with the weaker performance of regional peers.

At 6 pm, the local unit was quoted at 4.3980/3000 against the greenback compared with Thursday’s close of 4.3960/3000. 

A dealer said news reports indicated that the benchmark Brent Crude and US West Texas Intermediate crude oil prices would see a 5.2 per cent and 4.6 per cent weekly drop respectively on Friday, after investors expressed worry over the Organisation of the Petroleum Exporting Countries’ oil cut effect.

“The decline in global crude oil prices will hamper Malaysia’s revenue from the oil and gas sector, and therefore,  diminish investor interest towards the local note,” he added.

He said In addition,  geopolitical tensions over North Korea, along with the uncertainty surrounding the French Presidential election and general election in the  United Kingdom, had reduced the risk appetite among investors towards Asian currencies, including the ringgit.

At close, the ringgit was traded mostly higher against most major currencies.

It traded higher against the Japanese yen at 4.0286/0315  from 4.0312/0352 on Thursday, strengthened against the British pound to 5.6259/6298 from 5.6392/6452 and advanced against the euro to 4.7076/7111 from 4.7310/7366.

However, it depreciated against the Singapore dollar to 3.1466/1485 from 3.1465/1498. ― Bernama