The ringgit opened flat against the US dollar on Tuesday, but mostly strengthened against other major currencies. The performance was supported by strong Malaysian economic data, helping to cushion the impact of global market volatility. US Economic Analysis
At 10am, the ringgit was at RM4.0870, up 0.07% since it opened early Tuesday in Asian trading.
On Monday, the Department of Statistics Malaysia (DOSM) reported that Malaysia's exports rose 45.4% to RM177.9 billion, while imports rose 43.9% to RM163.0 billion.
The trade surplus also jumped 64.9% to RM14.9 billion for the period under review, reflecting the country's improving trade performance.
SPI Asset Management Managing Partner Stephen Innes said the US dollar was trading slightly stronger this morning after oil prices briefly rose following US President Donald Trump's warning that Iran would 'pay' for the deaths of American service members.
At the same time, renewed threats from the Houthi group against Saudi Arabia's shipping lanes in the Red Sea also added to market concerns.
At the time of writing, Brent crude oil prices were down 0.12% to US$82.38 per barrel, while West Texas Intermediate (WTI) was down 0.45% to US$88.82 per barrel.
Bank Muamalat Malaysia Bhd Chief Economist Dr Mohd Afzanizam Abdul Rashid said the ringgit was expected to continue to move in a narrow range against the US dollar, around 4.09 to 4.10.
He said the US Dollar Index (DXY) was still high at 100.996 points due to investors' still weak risk appetite. In addition, the conflict in the Middle East continued to be in focus after the Iran-backed Houthi group in Yemen announced a naval blockade on ships passing through the Bab el-Mandeb Strait bound for Saudi Arabia.
Against other major currencies, the ringgit strengthened as it rose to 5.4926/5000 against the British pound from 5.5049/5123, rose to 4.6686/6749 against the euro from 4.6743/6806, and strengthened to 2.5169/5205 against the Japanese yen from 2.5177/5212.
Among regional currencies, the ringgit was traded mixed.
The ringgit rose slightly to 3.1675/1722 against the Singapore dollar from 3.1677/1722, strengthened to 12.1512/1734 against the Thai baht from 12.1556/1759, while unchanged against the Indonesian rupiah at 227.8/228.2 and remained flat against the Philippine peso at 6.63/6.64.
