KUALA LUMPUR: The ringgit extended its downtrend to end lower against the US dollar today as the greenback continued to strengthen amid geopolitical worries in the Middle East, an economist said.
Bank Muamalat Malaysia Bhd chief economist Afzanizam Rashid said the ongoing tension in the Middle East continued to weigh on market sentiments, providing support to the greenback. In addition, he said crude oil prices fluctuated but remained above US$90 per barrel as the situation in Gaza is expected to get more intense.
“This has led to concerns over crude oil prices in the near-term and how major central banks would react to such potential inflationary pressures,” he told Bernama.At 6pm, the local currency fell to 4.7340/4.7380 against the greenback from Friday’s close of 4.7260/4.7305.It appreciated vis-à-vis the British pound to 5.7494/5.7543 from 5.7615/5.7670 at Friday’s close but went down against the euro to 4.9858/4.9901 from 4.9760/4.9807 and eased against the yen to 3.1668/3.1697 from 3.1582/3.
The local unit eased against the Philippine peso to 8.33/8.34 versus 8.32/8.33 last Friday but inched up against the Indonesian rupiah to 301.0/301.5 from 301.3/301.7 previously.