KUALA LUMPUR, June 12 — The ringgit closed lower against the US dollar today, as it remained partially tied at the hip to oil prices, which are currently trading below US$40 (RM170) per barrel.

This is after the local note set on a strong performance earlier in the week following the government’s announcement of the recovery movement control order (RMCO) and as traders was focusing on the US Federal Open Market Committee meeting.

The ringgit was quoted at 4.2650/2700 versus the greenback from 4.2430/2500 at the close yesterday.

AxiCorp global chief market strategist Stephen Innes said the overall the crude oil market remained sick due to the supply overhang and patchy demand recovery in the US.

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“And it’s a double whammy for the ringgit as the US Federal Reserve has clearly opened the door for the dollar to move lower but the Covid-19 resurgence in the US spooked the currency market, impacting it (ringgit),” he said.

At the close, the ringgit was traded mixed against a basket of benchmark currencies.

It fell against the Singapore dollar to 3.0706/0753 from 3.0613/0675 yesterday and eased to 5.3944/ 3024 from 5.3844/3954 versus the British pound.

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Vis-a-vis the Japanese yen, the local currency was slightly higher at 3.9663/9717 from 3.9665/9742 and appreciated against the Euro to 4.8280/8353 from 4.8294/8382. — Bernama