The Malaysian ringgit opened higher against the US dollar as investors anticipated Bank Negara Malaysia’s (BNM) final Monetary Policy Committee meeting of 2026.
News details
- At 8.00 am, the ringgit strengthened to RM4.0585/0660 against the US dollar, compared with RM4.0610/0660 at Wednesday’s closing.
- BNM was scheduled to announce its Overnight Policy Rate (OPR) decision on 5 November.
- Some economists expected a possible 25-basis-point increase, which would bring the OPR from 2.75% to 3.00%.
- Improved global market sentiment following the US midterm elections also supported the ringgit.
- Brent crude oil prices fell by approximately 8.62% to US$94.67 per barrel, while the US Dollar Index weakened.
- The ringgit also strengthened against the Japanese yen, euro and British pound at the opening.
Business and economic impact
- A stronger ringgit may reduce the cost of imported raw materials, machinery and equipment for Malaysian businesses.
- Import-dependent companies may benefit from lower foreign-currency expenses.
- Malaysian exporters may receive less ringgit when converting foreign-currency revenue, depending on exchange-rate movements.
- Businesses with foreign-currency loans should monitor exchange-rate changes and interest-rate exposure.
- Consumers may benefit from lower import costs if businesses pass on the savings.
What to watch: BNM’s OPR announcement and its guidance on Malaysia’s economic outlook for 2027.