Ringgit opens higher post FOMC

KUALA LUMPUR, July 27: The ringgit opened higher against the US dollar this morning on improved demand supported by firmer oil prices and weakening US dollar.

At 9 am, the local unit stood at 4.2740/2770 against the greenback compared with Wednesday’s close of  4.2825/2865.

The benchmark Brent crude were traded around US$50.83 per barrel.

“A rally in oil prices -over the long-term should provide positive sentiment for the ringgit,” said OANDA Senior Trader Stephen Innes.

Besides,, talks on positive inflows due to infrastructure projects associated with China’s ‘One Belt One Road’ initiative was also supporting the ringgit.

Innes added that Bank Negara Malaysia’s move to further liberalise its currency policy brought cheer to investors.

Meanwhile, the US dollar fell after the US Federal Reserve ‘s Open Market Committee announced no changes to monetary policy.

 

Bernama

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.

Stephen Innes

Stephen Innes

Head of Trading APAC at OANDA
Stephen has over 25 years of experience in the financial markets and currently based in Singapore as the Head of Trading Asia Pacific with OANDA. Stephen's market views focus on the movement of G-10 and ASEAN Currencies. His views appear in Bloomberg, CNBC.Reuters, New York Times WSJ and the Economist. His media appearances include Bloomberg TV & Radio, BBC International, Sky TV, Channel News Asia, ASTRO AWANI and BFM Malaysia. Stephen has an extensive trading experience in Spot and Forward FX, Currency and Interest Rate Futures, Money Market Derivatives and Precious Metals. Before joining OANDA, he worked with organisations like Nat West, Chemical Bank, Garvin Guy Butler, and Sumitomo Mitsui Banking Corporation. Stephen was born in Glasgow, Scotland, and holds a Degree in Economics from the University of Western Ontario.
Stephen Innes
Stephen Innes

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