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MYR: USD/MYR Marginally Down in Early Trading

MYR
  • USD/MYR is modestly down at 4.3380/85 in Kuala Lumpur morning; versus Tuesday's close of 4.3422.
  • Bloomberg Asia dollar spot index and the Bloomberg Dollar spot index are 0.04% higher at this mornings open.
  • The softer US yield backdrop is aiding MYR, offsetting global growth/softer commodity price concerns at this stage. The resilient domestic growth backdrop another MYR positive
  • USD/MYR one-month implied volatility is up this morning to 6.26%, versus 6.1825% close on Monday.
  • Malaysia's 10-year bond yield is 1bp lower in yield at 3.75%
  • Malaysia 5 yr USD CDS at 37bps (yesterday close 37bp, 5-year low 32 in 2020).

Headlines

  • Yesterday’s rise in Industrial Production speaks to the robustness of the Malaysian economy with manufacturing leading the way.
  • However, Palm Oil exports are cooling down 9.7% to 1.53 million tons, below expectations.
  • Bank Negara Malaysia (BNM) governor hopes for wider acceptance and use of Islamic finance as a vehicle to drive efforts to transition to a greener economy, seeing sustainable finance and Islamic finance as important levers to address the economy’s funding needs. 

Data Releases Today

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Government Bond Auctions

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