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THE ringgit strengthened at Monday’s open, supported by a softer U.S. dollar as markets remained cautious amid persistent geopolitical strains in West Asia and rising energy prices.
At 8am, the local currency firmed to 4.0225/0425 against the U.S. dollar, compared with Friday’s close of 4.0295/0350, reflecting modest gains as the greenback weakened.
According to Bank Muamalat Malaysia Bhd Chief Economist Dr Mohd Afzanizam Abdul Rashid the dollar came under pressure as investor sentiment turned cautious following remarks by U.S. President Donald Trump regarding potential action targeting Iranian civilian infrastructure to ensure the reopening of the Strait of Hormuz.
He noted that elevated oil prices, with Brent crude at US$110.47 per barrel, signal mounting inflationary pressures in the months ahead, even as business and consumer confidence remain subdued.
"As such, we expect the USD/MYR pair to range between RM4.03 and RM4.05 in the near term, as the US Dollar Index (DXY) has risen 0.23 per cent to 100.259 points," he told Bernama.
The ringgit also traded higher against a basket of major currencies, strengthening versus the Japanese yen, the euro and the British pound compared with Friday’s close.
Against regional peers, the local currency posted gains across the board. It improved against the Singapore dollar and the Indonesian rupiah, edged higher versus the Philippine peso, and advanced against the Thai baht, reflecting broader support for the ringgit in early trading. - April 6, 2026