Ringgit Rallies Ahead of Fed Meeting Amid Crude Oil Price Volatility
The ringgit strengthened against major currencies on Monday ahead of the US Federal Reserve's meeting to decide on interest rates. The currency climbed to 4.0835/0875 against the greenback from Friday's close of 4.0885/0935, according to the KLSE Screener.
Dr Mohd Afzanizam Abdul Rashid, chief economist at Bank Muamalat Malaysia Bhd, attributed the ringgit's performance to investor caution ahead of the Federal Open Market Committee meeting scheduled for July 28 and 29. He noted that crude oil prices fell after the United States and Iran halted hostilities over the weekend.
The ringgit traded higher against a basket of major currencies at the close today, edging up against the Japanese yen to 2.4969/4994 from 2.4976/5008 last Friday, and appreciating vis-a-vis the euro to 4.6536/6581 from 4.6556/6613.