Delta Variant Drives Record Increase In Covid-19 Cases

Spot USD/MYR reopened higher, crossing above MYR4.2000 for the first time since Aug 14, 2020. The rate last changes hands at MYR4.2017, 97 pips higher on the day, with bulls looking for a break above Aug 11, 2020 high of MYR4.2065. This would encourage bulls to set their sights on the 50% recovery of the Mar 23, 2020 - Jan 4, 2021 sell-off at MYR4.2224. Bears need a pullback under Jul 12 low of MYR4.1810, before taking aim at Jul 6 low of MYR4.1480.

• Malaysia's Director-General of Health Noor Hisham said Tuesday that the daily Covid-19 case count topped 11,000 for the first time on record, amid the spread of the highly transmissible Delta variant. Noor Hisham noted that daily cases can rise further before stabilising. The gov't will create a special task force to coordinate Covid-19 response in the Klang Valley, which accounts for 60% of all cases.
• UMNO Pres Zahid removed Tajuddin Abdul Rahman as the party's elections director, after he confirmed the authenticity of a video recording, which showed him argue against Zahid's proposal to sever ties with PM Muhyiddin during last week's UMNO Supreme Council meeting.