KUALA LUMPUR, Nov 3 — The ringgit opened marginally higher against the US dollar today amid signs of progress in diplomatic talks between Washington and Tehran.
At 8 am, the local currency edged up to 4.0690/0750 against the greenback from yesterday's close of 4.0695/0735.
Bank Muamalat Malaysia Bhd chief economist Mohd Afzanizam Abdul Rashid said diplomatic talks between the US and Iran could lead to the reopening of the Strait of Hormuz.
Brent crude oil prices fell sharply by 8.12 per cent to US$104.21 per barrel.
"At the same time, yields at the auctions of three- and six-month US Treasury bills were lower, suggesting that expectations of an interest rate hike have eased.
"Nevertheless, the situation in West Asia remains fluid, and market participants will be closely watching the results of the US midterm elections," he told Bernama.
Mohd Afzanizam, however, expects the ringgit to trade within a narrow range today as market sentiment remains cautious.
Against major currencies, the ringgit traded mostly higher.
The local currency strengthened against the euro to 4.5540/5607 from yesterday's close of 4.5652/5697 and rose against the British pound to 5.4561/4642 from 5.4621/4675.
However, it edged down against the Japanese yen to 2.5769/5809 from 2.5766/5793 previously.
The ringgit traded mixed against its ASEAN peers.
It strengthened against the Singapore dollar to 3.1809/1858 from the previous close of 3.1825/1862 but remained unchanged against the Indonesian rupiah at 224.1/224.5 and the Philippine peso at 6.39/6.41.
The local currency weakened against the Thai baht to 12.0634/0920 from yesterday's close of 12.0496/0661.
