The Malaysian ringgit weakened against the US dollar as investors sought safe-haven assets amid geopolitical tensions in West Asia
KUALA LUMPUR: The ringgit opened lower against the US dollar on Monday. Investors moved towards safe-haven assets, with the greenback seen as a way to preserve capital.
At 8 am, the local currency eased to 3.9520/9600 against the greenback. This compares to last Friday’s close of 3.9505/9545.
Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid noted a sharp rise in crude oil prices.
West Texas Intermediate and Brent crude climbed 7.29% and 6.07% to USD 89.96 and USD 95.87 per barrel, respectively.
He attributed the price surge to the highly fluid situation in West Asia. “The Strait of Hormuz was closed again shortly after the Iranian government announced the reopening on Saturday,” he told Bernama.
