Ringgit rises as oil jumps on Russia sanctions
Malaysia’s currency edged up against the dollar on Thursday as crude oil rallied on fears of tighter supplies after America and Europe sanctioned a Russian petroleum giant. The ringgit closed at 4.2250 per dollar compared with 4.2280 at the previous close. Bank Muamalat Malaysia chief economist Mohd Afzanizam Abdul Rashid said the Southeast Asian nation benefits from higher energy prices because it exports oil and gas. Brent crude climbed to 64.73 dollars per barrel as the penalties raised concerns about disrupted flows from Russia.
The local currency traded at 4.23 ringgit per dollar before strengthening to about 4.22 later in the session. Regional currencies showed mixed results as traders weighed developments, including the American government shutdown, which has blocked access to economic data ahead of next week’s Federal Reserve meeting. The ringgit gained ground against the euro and yen but weakened versus the British pound. The currency rose against the Singapore dollar, Philippine peso, and Indonesian rupiah while slipping against the Thai baht.
