Malaysia Kept On FTSE WGBI, Dropped From Watchlist

Spot USD/MYR trades flat at MYR4.1415 as we type, happy to hug a familiar range as consolidation above the 200-DMA continues.

• FTSE Russell not only kept Malaysian bonds on its World Government Bond Index, but also dropped it from the watchlist for potential exclusion, after a suite of measures taken by BNM to improve market liquidity.
• The Star cited sources noting that several Mins & Dep Mins from Umno met with PM Muhyiddin after Umno general assembly decided to terminate its cooperation with the PM's party.
• Malaysian Science Min Khairy noted that just 2mn out of 9mn targeted people registered for the second phase of the vaccine rollout, so some of participants of phase three will be able to receive their vaccinations ahead of schedule. Separately, the King publicly reiterated his call on Malaysians to take part in vaccinations.
• Monday saw Malaysia's daily Covid-19 case tally dip below 1,000 for the first time since Dec 9 in a sign that the local epidemiological situation is improving.
• Malaysia has paid Singapore $102.8mn in compensation for the cancelled high-speed rail project.
• A sell-off past the 200-DMA at MYR4.1367 would bring Mar 18 low of MYR4.1020 into view. On the topside, focus falls on Mar 26 high of MYR4.1523, followed by Nov 4 high of MYR4.1745.
• Looking ahead, Malaysian Markit M'fing PMI comes out Thursday.