Malaysia Extends Restrictions, Umno Divided Over Ties With Bersatu

The 50-DMA has crossed above the 100-DMA as USD/MYR pushed higher to the strongest levels since Nov 5, 2020 on Tuesday. The rate re-opened sharply lower this morning, but immediately pared losses, returning above its 200-DMA. It last changes hands +22 pips at MYR4.1528.

• Malaysian Defence Min Ismail Sabri announced the extensions of existing curbs on inter-state and inter-district travel, as well as movement restrictions in Kuala Lumpur and four states through Apr 14.
• More details re: PM Muhyiddin's meeting with cabinet ministers from Umno have transpired. It has been revealed that ministers told the PM that they will not step down for now, even as Umno general assembly voted to sever ties with Muhyiddin's Bersatu ahead of the next general election.
• Science Min Khairy called upon Umno leaders to hold party polls early to resolve the impasse between rivalling internal factions led by Umno Pres Zahid & Federal Territories Min Annuar. Zahid has insisted that Umno ministers should give up their posts immediately, while Annuar has pushed for remaining part of the ruling coalition.
• The Sabah branch of Umno decided not to quit its coalition with the regional GRS alliance set up by PM Muhyiddin in order to secure political stability in the state.
• PM Muhyiddin unveiled the Malaysian Cooperative Transformation Plan 2021-2025 to revitalise and empower co-ops.
• A rally above Mar 30 high of MYR4.1532 would turn focus to Nov 4, 2020 high of MYR4.1745. On the flip side, Mar 18 low of MYR4.1020 provides the initial bearish target.
• Malaysia's Markit M'fing PMI comes out on Wednesday.