KUALA LUMPUR, Aug 24 — The ringgit rose against the US dollar at the close today as the higher global oil price helped to lift market sentiment for the local note.
At 6pm, the local currency was quoted at 4.1740/1790 against the greenback from 4.1780/1800 recorded on Friday.
OANDA Europe senior market analyst, Craig Erlam said oil prices are edging higher again, lifted by positive risk appetites and softer US dollar, with both Brent and WTI remaining near the upper end of their ranges, without really threatening a breakout at the moment.
“The fundamental situation has not really changed, the global economic outlook is uncertain given new waves of the COVID-19 outbreak around the world, the OPEC+ left production cuts unchanged after raising output a little in August and the United States’ (US) output has fallen considerably and is not yet picking up.
“The softer dollar has been the only difference and even that has rebounded strongly. Oil producers will be comfortable with prices gradually moving into the mid-US$40 range and avoiding damaged corrections along the way,” he said in a note.
Brent Crude rose 0.77 per cent to US$44.69 a barrel while WTI Crude was 0.76 per cent higher at US$42.66 a barrel.
Meanwhile, the ringgit rose against the Singapore dollar to 3.0487/0533 from 3.0528/0553 recorded last Friday and gained against the yen to 3.9482/9533 from 3.9561/9583.
The ringgit strengthened against British pound to 5.4775/4858 from 5.5012/5046 but declined against the euro to 4.9387/9458 from 4.9355/9383 previously. — Bernama
