KUALA LUMPUR: The ringgit strengthened against the US dollar, other major currencies, and ASEAN peers at Wednesday’s close following news that the International Energy Agency (IEA) has proposed releasing oil reserves, which could help stabilise global crude oil prices.
At 6 pm, the local currency rose to 3.9175/9230 against the greenback from Tuesday’s close of 3.9200/9260.
Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid said the IEA proposal comes amid concerns that a closure of the Straits of Hormuz would compromise crude oil supplies.
"The situation largely depends on how long the military conflict continues. Hence, de-escalation is something the world needs at the moment,” he told Bernama.
At the time of writing, the price of Brent crude rose 4.24 per cent to US$91.52 per barrel.
At the close, the ringgit rose against the Japanese yen to 2.4719/4755 from 2.4859/4899 at Tuesday's close, climbed against the British pound to 5.2545/2619 from 5.2744/2824, and was firmer against the euro at 4.5412/5475 from 4.5668/5738.
The local note also traded higher against most ASEAN currencies.
It edged up against the Singapore dollar to 3.0754/0800 from 3.0806/0855, gained against the Thai baht to 12.3386/3637 from 12.3941/4205, and was slightly higher against the Indonesian rupiah at 232.0/232.4 from 232.4/232.9. The ringgit climbed against the Philippine peso to 6.62/6.64 from 6.65/6.67 on Tuesday. - Bernama
