KUALA LUMPUR, Sept 23 — The ringgit opened higher against the US dollar today, supported by easing Brent crude oil prices and geopolitical developments.
At 8 am, the ringgit rose to 4.0680/0765 against the greenback from yesterday's close of 4.0730/0775.
Bank Muamalat Malaysia Bhd chief economist Mohd Afzanizam Abdul Rashid said prevailing crude oil prices were supportive of the foreign exchange market, with Brent crude hovering below US$100 per barrel at US$99.25.
"The meeting between US and Iranian officials during the United Nations General Assembly was described as 'very good' by US President Donald Trump, raising hopes of some progress towards a peace deal, although the situation remains fluid.
"Meanwhile, there was no clear indication from US Federal Reserve officials on the direction of monetary policy," he told Bernama.
Mohd Afzanizam added that, based on Federal Funds futures contracts, the odds of a rate hike in October and December were more than 50 per cent, suggesting the market expects two more rate hikes this year.
As such, he said the ringgit should trade within a narrow range today.
At the opening, the ringgit traded higher against a basket of major currencies.
It gained against the euro to 4.6566/6664 from 4.6705/6757 at yesterday's close, advanced against the British pound to 5.4275/4389 from 5.4452/4512, and appreciated against the Japanese yen to 2.5830/5886 from 2.5958/5988 previously.
The local note was mostly higher against its ASEAN peers.
It firmed against the Singapore dollar to 3.1901/1970 from 3.1955/1993 at yesterday's close and gained against the Thai baht to 12.2826/3142 from 12.2847/3035.
The ringgit inched up against the Indonesian rupiah to 227.4/228.0 from 227.7/228.0, but was slightly lower against the Philippine peso at 6.48/6.50 from 6.49/6.50.
