KUALA LUMPUR, Oct 23 — The ringgit was lower against the US dollar in the early trading session today on cautious market sentiment due to the diplomatic tension between Malaysia and India over the disputed Jammu and Kashmir.
At 9.05 am, the local note was quoted at 4.1900/1930 versus the greenback from 4.1870/1900 recorded at yesterday’s close.
A dealer said tension arose as India’s top vegetable oil body has asked its members to stop buying Malaysian palm oil, as a response to Prime Minister Tun Dr Mahathir Mohamad's remarks about Jammu and Kashmir at the UN General Assembly last month.
“Market players are cautious on the potential impact of this move to Malaysia's trade, on top of their existing concerns over the US-China trade war.
“On US-China, although there have been positive developments made recently, traders remained cautious given the unpredictable nature of the talks between the two countries in the past,” he added.
Meanwhile, the local note was traded mixed against other major currencies.
It declined against the Singapore dollar to 3.0737/0763 from 3.0730/0757 and eased against the yen 3.8642/8677 from 3.8558/8589.
The ringgit appreciated against the British pound to 5.3921/3972 from 5.4138/4198 and gained against the euro to 4.6614/6651 from 4.6660/6702. — Bernama
