Malaysian Ringgit Affected by Falling Oil Prices
Dear Reader Malaysia's stock exchange and ringgit currency recently took a beating due to falling oil prices. According to the Star: The plunge follows an Opec decision not to cut production despite a huge oversupply in global markets. ... it [price per barrel] could plunge all the way to US$32.40 per barrel. Oil prices fell to their lowest in five years yesterday due to the production war between Opec and the American oil boom from shale oil producers. In recent months, the United States has become a major producer of shale oil and gas – fuel that’s extracted from rock fragments – threatening the position of Saudi Arabia as the dominant oil-producing country. In response to the threat, Opec, which is influenced by Saudi Arabia, has vowed to continue production of oil in a market where supply has outstripped demand. This has led to a free fall in global oil prices that have declined by more than 40% since July this year. Source Malaysia is a net exporter of oil, and...