Ringgit Rises on Improved Sentiment Amid US-Iran Talks Momentum
The Malaysian ringgit rose against the US dollar on Monday due to improved market sentiment. Oil prices fell after fresh momentum was reported for talks between the US and Iran, which is seen as a positive development.
Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid said that market sentiment has improved somewhat, leading to the appreciation of emerging market currencies, including the ringgit. This means that investors are becoming more optimistic about the future performance of these economies.
The ringgit traded higher against several major currencies, gaining against the euro and the British pound. However, it declined versus the Japanese yen. The local note also appreciated against the Philippine peso and the Indonesian rupiah but weakened against the Singapore dollar and the Thai baht.