Ringgit edges up in early trade vs US dollar

Indications of a weaker greenback and recovering oil prices put the ringgit on a stronger footing. — Reuters pic
Indications of a weaker greenback and recovering oil prices put the ringgit on a stronger footing. — Reuters pic

KUALA LUMPUR, March 26 — The ringgit opened higher against the US dollar in early trade amid the likelihood of a US dollar weakness, a dealer said.

At 9.10am, the local currency traded at 4.0640/0680 compared with yesterday’s close of 4.0670/0700.

He said trade tensions on the US-China trade front could put a floor to the greenback’s decline in the near/medium term.

“The traders will now scrutinise every piece of incoming data, particularly regarding the inflation performance,” he added.

The firmer oil price is viewed as positive for the local note, as at the time of writing, the International Brent futures was 0.42 per cent higher at US$67.09 a barrel, while the US West Texas Intermediate (WTI) crude futures rose 0.87 per cent to US$59.33 per barrel.

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

It declined against the Singapore dollar to 3.0113/0147 from yestertday’s 3.0106/0139 and fell versus the British pound to 5.3641/3714 from 5.3579/3634.

The ringgit, however, appreciated against the Japanese Yen to 3.6878/6918 from 3.6896/6933 and improved versus the euro at 4.5996/6046 from 4.6030/6081. — Bernama