business
Ringgit likely to strengthen further next week
The ringgit is expected to receive a boost from strengthening oil prices. – The Malaysian Insider file pic, March 5, 2016.The ringgit is expected to strengthen further next week on expectations of higher global crude oil prices and improved risk appetite for the local note, dealers said.
A dealer said if oil prices continued to strengthen, not only the ringgit but other currencies would get a boost, with oil being one of the country's main revenue sources.
"One thing to consider moving forward for the ringgit would be the future intentions of the Federal Reserve because if the US central bank did pause on its commitment to continue raising interest rates in 2016, we could see some increase in risk appetite for the emerging markets," Forex Time Ltd chief market analyst Jameel Ahmad said in a note today.
For the week just ended, the ringgit firmed to 4.1175/1225 from 4.2010/2070 versus the greenback last Friday, mainly due to the movement of crude oil prices.
The local unit rose against the Singapore dollar to 2.9789/9828 from 2.9996/9056 last Friday and stronger versus the yen to 3.6191/6251 from 3.7236/7299.
It also appreciated against the euro to 4.5033/5104 from 4.6417/6500 last week and improved against the British pound to 5.8209/8305 from 5.8747/8856 last Friday. – Bernama, March 5, 2016.
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