Free Trial

Ringgit Trades Near 2-Week Highs


Spot USD/MYR went offered Thursday amid broad-based USD weakness coupled with a delayed reaction to Bank Negara Malaysia's decision to keep their Overnight Policy Rate unchanged. The rate slid through Jan 15 low of MYR4.0325, printing worst levels since Jan 8.

  • Malaysian Defence Min Ismail Sabri Yaakob announced the extension of Movement Control Order in six states and federal territories by more than a week. The MCO will be left in place through Feb 4, instead of Jan 26 as originally scheduled. The Minister cited Health Ministry data suggesting that the six territories were now red zones in terms of infectivity rates.
  • FinMin Zafrul noted that Malaysia is on the right path to economic recovery, as monetary, fiscal and epidemiological measures working together to support national economy.
  • USD/MYR trades +30 pips at MYR4.0320 as we type. A break above the 50-DMA at MYR4.0597 would clear the way to Jan 12 high of MYR4.0760. Conversely, bearish focus falls on the key Jan 4 low of MYR3.9957.
  • Focus in Malaysia turns to the local CPI report, due later today. The main point of note going forward is Malaysia's trade report, due next Friday.

To read the full story



MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.