Ringgit Weakens Amid Rising Oil Prices and Caution Ahead of Federal Reserve Decision

The ringgit weakened against the US dollar on Tuesday due to rising crude oil prices and caution ahead of the Federal Reserve's policy decision, said Bank Muamalat Malaysia Bhd chief economist Afzanizam Abdul Rashid.

The local currency eased to 4.0605/4.0640 against the greenback from Monday's close of 4.0440/4.0485, according to data available at 6pm.

Elevated crude oil prices could strengthen the case for a Fed rate hike next week, Afzanizam Abdul Rashid noted, as other Asian currencies were mixed and market sentiment was anxious about the Fed's next move in the near term.