KUALA LUMPUR, March 25 — The ringgit slipped further versus the US dollar at opening today, as demand for the safe-haven greenback spiked due to persistent concerns over the Covid-19 resurgence and global lockdowns.
At 9am, the local note fell to 4.1330/1380 against the greenback from 4.1290/1320 at Wednesday’s close.
Axi chief global market strategist Stephen Innes said the reimposition of lockdowns in Europe and the resurgence of cases in hotspots around the world created questions on the hope of summer travel reopening, given concern on the new global spread.
According to news reports, several European countries were reimposing lockdown measures as a third wave of the pandemic sweeps the continent fuelled by more contagious new variants of coronavirus, first found in Britain.
“While higher crude oil prices could stem the ringgit from bleeding, it might not be enough to trigger a bullish revival,” Innes told Bernama in a note.
It was reported that benchmark Brent crude oil price slumped to US$60.86 per barrel on Tuesday this week from a high of US$69.63 per barrel on March 11, 2021 before rebounding to nearly US$64 per barrel by Wednesday.
At the time of writing, Brent crude price stood at US$64.07 per barrel, up 0.53 per cent from previous session.
At the opening bell, the local note was traded mostly higher against major currencies, except the Singapore dollar, where it depreciated to 3.0701/0745 from 3.0690/0719 at yesterday’s close.
The ringgit edged up against yen to 3.7956/8012 from 3.8006/8037, rose against the euro to 4.8827/8903 from 4.8858/8910 and increased vis-a-vis the British pound to 5.6601/6686 from 5.6687/6741.
— Bernama
