Kuala Lumpur, 12 March 2026 – The Malaysian ringgit strengthened further against the US dollar at the opening of trading, supported by stabilising global oil prices following a coordinated release of strategic petroleum reserves by the International Energy Agency (IEA).
At 8am, the local currency improved to 3.9130/9350 against the US dollar, compared with 3.9175/9230 at Wednesday’s close, indicating renewed demand for the ringgit amid easing energy market concerns.
Analysts said the move was largely influenced by developments in global oil markets after IEA member countries agreed to release about 400 million barrels from strategic petroleum reserves to stabilise prices amid geopolitical tensions in the Middle East.
The United States also announced the release of 172 million barrels into its domestic market as part of the coordinated effort to ease supply concerns and mitigate the impact of surging energy costs on global economies.
Oil Market Developments Support Currency Sentiment
Bank Muamalat Malaysia chief economist Dr Mohd Afzanizam Abdul Rashid said the release of emergency reserves aims to stabilise oil prices, particularly at the retail level, which has been affected by heightened geopolitical risks.
Energy markets have been volatile following escalating tensions near key shipping routes in the Middle East, including concerns surrounding the Strait of Hormuz, a major artery for global oil shipments. The coordinated reserve release is expected to ease supply fears and calm markets in the near term.
Ringgit Strengthens Against Major and Regional Currencies
The ringgit also gained against several other major currencies at the opening session.
It strengthened against the Japanese yen, trading at 2.4596/4738 from 2.4719/4755, while also improving against the British pound to 5.2360/2654 from 5.2545/2619 previously.
The local currency was firmer against the euro, rising to 4.5164/5418 from 4.5412/5475.
Against regional peers, the ringgit edged up against the Singapore dollar to 3.0661/0839 from 3.0754/0800, and strengthened versus the Thai baht to 12.2346/3119 from 12.3386/3637.
Energy Prices Continue to Influence Currency Markets
Market participants said developments in global energy markets will remain a key factor influencing the ringgit and other emerging-market currencies.
For Malaysia, a major exporter of energy and commodities, fluctuations in crude oil prices often influence investor sentiment toward the local currency.
As geopolitical tensions continue to shape global markets, analysts expect the ringgit’s trajectory to remain closely linked to movements in energy prices and broader risk sentiment in financial markets.
