KUALA LUMPUR, June 2 — The ringgit ended lower against the US dollar for the third consecutive day on the back of declining oil prices and a strengthening greenback, said an analyst.
At 6pm, the local currency declined to 4.3880/3910 versus the US dollar from Wednesday’s close of 4.3805/3850.
OANDA Asia Pacific senior market analyst Jeffrey Halley said oil prices fell in Asia today following reports that Saudi Arabia would increase its oil production if Russian output fell substantially.
“Overnight, oil gave back all its gains after the news released suggested that the Organisation of the Petroleum Exporting Countries and its allies (OPEC+) might exempt Russia from its production quotas,” he told Bernama.
At the time of writing, the benchmark Brent crude oil price fell 2.27 per cent to US$113.7 per barrel.
Meantime, Halley noted that robust US economic data and an ensuing extinguishing of hopes that the Federal Reserve (Fed) would need to ease hiking expectations were factors supporting the US dollar rally.
“Asian currencies retreated overnight as the Fed’s hike path was confirmed by US data releases,” he said.
Meanwhile, the ringgit was traded higher against a basket of major currencies.
The local note appreciated against the Singapore dollar to 3.1901/1928 from yesterday’s close of 3.1928/1965 and increased vis-à-vis the Japanese yen to 3.3803/3829 from 3.3865/3903.
The ringgit traded higher versus the British pound at 5.5034/5072 compared with 5.5159/5216 on Wednesday and advanced versus the euro to 4.6895/6927 from 4.6985/7034 previously.
— Bernama
