Correction: Umno Ministers Remain In Cabinet, M'fing PMI Fails To Enter Expansion

Spot USD/MYR has added a dozen pips thus far and last sits at MYR4.1462, not too far from its multi-month high printed yesterday. A break above Wednesday's high of MYR4.1590 would open up Nov 4 high of MYR4.1745. On the flip side, losses past the 200-DMA at MYR4.1357 would expose Mar 24 low of MYR4.1270.

• FinMin Zafrul said that Malaysia's economy is expected to rebound strongly this year, boosted by various stimulus measures. He noted that Malaysia aims at achieving herd immunity against Covid-19 by the year-end.
• PM Muhyiddin confirmed that Umno ministers will remain in the cabinet for now, as their departure would "jeopardise the government's planning on the pandemic and economic recovery."
• Bersatu and PAS issued a joint statement noting that they will "strengthen cooperation in PN to face the 15th general election," following Umno's decision to terminate alliance with Bersatu, but political pundits note that another pre-election political realignment is not entirely off the table.
• Malaysia's Markit M'fing PMI showed at its highest level since Jul 2020, as it improved to 49.9 from 47.7, with accompanying commentary noting that "while current production remains subdued, firms are gearing up for better times ahead, especially in relation to hiring."
• Intertek released the monthly update on Malaysia's palm oil exports, which expanded 26.82% M/M in Mar after shrinking 5.46% in Feb.