Ringgit Opens Slightly Higher Amid Hopes Of US-Iran Talks Progress

By Muhammad Fawwaz Thaqif Nor Afandi and Karina Imran

KUALA LUMPUR, Nov 3 (Bernama) -- The ringgit opened marginally higher against the US dollar on Tuesday amid signs of progress in diplomatic talks between Washington and Tehran.

At 8 am, the local note slightly rose to 4.0690/0750 against the greenback from Monday’s close of 4.0695/0735.

Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid said US-Iran diplomatic talks could lead to the reopening of the Straits of Hormuz.

Brent crude oil prices fell significantly by 8.12 per cent to US$104.21 per barrel.

“At the same time, the auction for the three- and six-month US Treasury bills saw their yields lower, suggesting that the odds for a rate hike have been tempered down. 

“Still, the situation in West Asia is still fluid, and market participants will be observing the US mid-term election result,” he told Bernama.

However, Mohd Afzanizam expects the ringgit to trade in a narrow range today as market sentiment remains cautious.

Against major currencies, the ringgit traded mostly higher.

The ringgit climbed against the euro to 4.5540/5607 from 4.5652/5697 at Monday’s close, rose against the British pound to 5.4561/4642 from 5.4621/4675, but inched down vis-a-vis the yen to 2.5769/5809 from 2.5766/5793 previously.

The ringgit performed mixed against its ASEAN peers.

It increased vis-a-vis the Singapore dollar to 3.1809/1858 from the previous close of 3.1825/1862, but was flat against the Indonesian rupiah at 224.1/224.5 and the Philippine peso at 6.39/6.41.

The local note slipped versus the Thai baht to 12.0634/0920 from 12.0496/0661 at Monday’s close. 

-- BERNAMA