Malaysia’s ringgit gained the most since September 2013 and the benchmark stock index headed for the highest close in two months as a rally in the price of oil eased concern the nation’s finances will deteriorate.
The currency climbed 2.1 percent from Jan. 30 to 3.5555 a dollar as of 11:48 a.m. in Kuala Lumpur as markets reopened after holidays on Monday and Tuesday, according to prices from local banks. Brent crude jumped 5.8 percent on Tuesday and has increased almost 19 percent in five days to $57.40 a barrel.
The price of the commodity had fallen to as low as $45.19 on Jan. 13, the least since 2009, causing the government to revise its 2015 fiscal deficit target to 3.2 percent of gross domestic product from 3 percent. Prime Minister Najib Razak has reduced this year’s growth forecast to 4.5 percent to 5.5 percent from as much as 6 percent. Malaysia is Asia’s only major net exporter of oil.
Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.