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Ringgit Feels The Pain Of Political Uncertainty

MYR

Spot USD/MYR has advanced as the ringgit has absorbed local political developments. USD/MYR trades +48 pips at MYR4.2423, narrowing in on multi-year highs, as participants are on the lookout for Muhyiddin's swansong comments. The ringgit is among the worst performers in the region as we type.

  • A clearance of the nearby Jul 21 high of MYR4.2440 would shift focus to the 61.8% retracement of the Mar 23, 2020 - Jan 4, 2021 sell-off, which kicks in at MYR4.2758.
  • Malaysiakini reported that PM Muhyiddin has arrived at his office ahead of the special Cabinet meeting. Ministers will convene around the top of the hour and the Premier is expected to notify his colleagues about his imminent resignation, before heading to the Royal Palace.

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