Higher oil price lifts ringgit

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KUALA LUMPUR (Aug 3): The ringgit rebounded slightly on Tuesday, lifted by higher oil price.

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At 9.10 am, the local note stood to 4.2220/2250 versus the greenback from Monday’s close of 4.2240/2255.

Bank Islam Malaysia Bhd economist Adam Mohamed Rahim said the Brent crude oil price rose despite investors weighing the risk to consumption posed by the spread of the Delta coronavirus variant.

“Nevertheless, the ringgit is expected to largely face downward pressure amid the heightened number of COVID-19 cases while investors closely monitor the political developments in the country,” he told Bernama.

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Meanwhile, the local note was traded mostly higher against a basket of major currencies.

The ringgit strengthened against the Singapore dollar to 3.1205/1232 from Monday’s close of 3.1256/1272, and climbed vis-a-vis the euro to 5.0119/0155 from 5.0240/0262.

The local unit also rose against the British pound to 5.8660/8702 from 5.8794/8815 but declined against the Japanese yen to 5.8660/8702 from 3.8554/8571.-BERNAMA