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Ringgit Slips After Holiday

MYR

Malaysia is back from a holiday, with spot USD/MYR catching a bid from the off. The rate operates +98 pips at MYR4.1925, with bulls looking to a break above Jan 7 high of MYR4.2175. On the flip side, a fall through Jan 13/200-DMA at MYR4.1720/17 would shift focus to Dec 31 low of MYR4.1642.

  • FinMin Zafrul noted that positive signals from the economic indicators suggest that Malaysia's economic growth can reach +5.5%-6.5% Y/Y this year, with recovery stimulated by a record-breaking federal budget.
  • Bank Negara Malaysia will deliver their monetary policy decision on Thursday (our usual preview is forthcoming). The next day, the Department of Statistics will publish the latest inflation report.

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