RINGGIT EASES VERSUS US DOLLAR ON CAUTIOUS SENTIMENT AMID WORRIES OVER OIL SUPPLY

By Fatin Umairah Abdul Hamid

KUALA LUMPUR, March 12 (Bernama) -- The ringgit ended lower against the US dollar at the close on Thursday on concerns over oil supply disruptions amid the war in Iran.

At 6 pm, the local currency eased to 3.9240/9280 against the greenback from Wednesday’s close of 3.9175/9230.

Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid said the International Energy Agency’s decision to release oil reserves has failed to calm the markets. The IEA recommended yesterday to release 400 million barrels of oil from stockpiles, the largest such move in its history, in a bid to rein in oil prices.

"The Iranian government has set certain conditions for peace talks, but they seem like a tall order for the United States and Israel. This suggests the ongoing military conflict could be protracted," he told Bernama.

At the time of writing, Brent crude oil price rose 4.71 per cent to US$96.14 per barrel.

The ringgit traded lower against other major currencies at the close.

It was flat against the Japanese yen at 2.4720/4746 from 2.4719/4755 at Wednesday’s close and marginally down against the British pound at 5.2554/2608 from 5.2545/2619. But it was firmer against the euro at 4.5361/5408 from 4.5412/5475.

The local currency traded mixed against most ASEAN currencies.

It gained against the Thai baht to 12.3257/3452 from 12.3386/3637 and improved against the Philippine peso to 6.60/6.62 from 6.62/6.64 on Wednesday.

However, it edged down against the Singapore dollar to 3.0786/0820 from 3.0754/0800 and was marginally lower against the Indonesian rupiah at 232.2/232.6 from 232.0/232.4 previously.

-- BERNAMA