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.