KUALA LUMPUR, Jan 16 — The ringgit closed marginally lower against US dollar today in line with other emerging markets after United Kingdom (UK) Prime Minister Theresa May’s Brexit plan was defeated in Parliament.
At 6pm, the ringgit was quoted at 4.1090/1110 compared with 4.1030/1080 against the greenback yesterday.
A dealer said until the uncertainty in the UK market settles down, the ringgit may be affected as Malaysia was one of UK’s trading partner.
“Although the Brexit plan was defeated yesterday, Parliament is expected to table a motion of no confidence in May on Wednesday, the result of which is expected to influence the decision made on Brexit,” he told Bernama.
The UK is expected to exit the European Union (EU) on March 29. However, the EU is prepared to delay Brexit until July.
The dealer also said oil price hike, however, buffered the impact on the ringgit.
At press time, the benchmark Brent crude was fetching US$60.59 per barrel compared with US$59.44 yesterday.
Meanwhile, the ringgit traded mostly lower against other major currencies.
It depreciated against the Singapore dollar from 3.0322/0355 to 3.0312/0360 on Tuesday and appreiciated versus the euro to 4.6880/6923 from 4.6910/6975 yesterday.
The local unit eased vis-a-vis the Japanese yen to 3.7826/7848 from 3.7788/7844 previously and slipped against the British pound to 5.2899/2941 from 5.2777/2874, previously. — Bernama
Source: The Malay Mail Online