KUALA LUMPUR, Aug 25 — The ringgit extended yesterday’s gains to end higher against the US dollar today, boosted by steady oil prices, said an analyst.
At 6pm, the local currency rose to 4.4700/4730 against the greenback from Wednesday’s close of 4.4840/4870.
The analyst said oil prices were firmer after Saudi Arabia suggested that the Organisation of the Petroleum Exporting Countries and allies (OPEC+) could consider cutting output.
Oil prices were also supported by the decline in the United States (US) inventories for the week ended August 19.
It was reported that the benchmark crude oil contract touched a three-week high on Wednesday.
According to a news report, the Energy Information Administration (EIA) reported that US crude and fuel inventories fell last week — crude inventories fell by 3.3 million barrels in the week to August 19 to 421.7 million barrels compared with expectations for a 933,000-barrel drop.
At the time of writing, benchmark Brent crude oil traded at US$101.6 per barrel, up 0.40 per cent.
Meanwhile, in a note today, ActivTrades trader Dyogenes Rodrigues Diniz said a break below 4.4730 could make room for a better ringgit performance to 4.4570 first and then 4.4050.
The ringgit traded mixed against a basket of major currencies.
It depreciated against the Singapore dollar to 3.2174/2201 from 3.2169/2195 at Wednesday’s close and dipped against the euro to 4.4673/4703 from 4.4593/4623 yesterday.
The local unit appreciated versus the British pound to 5.2902/2938 from 5.2916/2951 and rose vis-à-vis the Japanese yen to 3.2750/2774 from 3.2847/2872 previously.
— Bernama
