THE ringgit strengthened to the 3.99 level against the US dollar in early trade on Wednesday, buoyed by improved global sentiment after US President Donald Trump announced a two-week pause in military action against Iran.
At 8am, the local currency rose 0.67 per cent to 3.9975/4.0050 against the greenback, in comparison with Tuesday’s close of 4.0275/4.0320, as investors responded positively to signs of de-escalation in the Middle East.
Bank Muamalat Malaysia Bhd Chief Economist Dr Mohd Afzanizam Abdul Rashid said Trump’s decision to delay military action effectively amounted to a “double-sided ceasefire”.
“Perhaps that could provide some temporary respite to market sentiments amid heightened economic uncertainties following the shock from the war in Iran,” he told Bernama.
The improvement in risk appetite coincided with a sharp pullback in oil prices, with Brent crude falling 15.70 per cent to US$92.12 per barrel, while the US Dollar Index (DXY) edged down 0.35 per cent to 99.635 points.
In early trading, the ringgit strengthened against the Japanese yen to 2.5187/5238 from 2.5229/5258 at Tuesday’s close. It weakened, however, against the euro to 4.6719/6806 from 4.6566/6618, and slipped against the British pound to 5.3570/3671 from 5.3425/3484.
Against regional peers, the currency traded mostly higher.
It appreciated against the Singapore dollar to 3.1331/1392 from 3.1381/1419, rose against the Indonesian rupiah to 233.6/234.2 from 235.4/235.8, and gained against the Philippine peso to 6.63/6.64 from 6.68/6.69.
However, the ringgit edged lower against the Thai baht to 12.4572/4879 compared with 12.3809/4021 previously, reflecting mixed movements across regional foreign exchange markets. - April 8, 2026
