Ringgit Weakens Amid Uncertain Palm Oil Outlook

Spot USD/MYR last trades +43 pips at MYR4.5378, pushed higher by light flows into the greenback in early Asia hours. The rate now operates below its 100-DMA, which shifts technical focus to Aug 26 low of MYR4.4663. Conversely, bulls look for a rebound above the 50-DMA which kicks in at MYR4.6363.

• Palm oil futures fell Tuesday, before finding poise in after-hours trade. Reports suggesting that Russia could extend the Black Sea Grain Initiative past its November 19 expiry date weighed on edible oils, but the subsequent standoff over Russia-made missile blast in Poland adds uncertainty to the outlook for the deal. High-frequency data for Nov 1-15 confirmed optimistic signs on Malaysian shipments this month (SGS: +3.5% M/M; Intertek: +12.72% M/M, AmSpec +10.7% M/M).
• Looking ahead, Malaysia's October trade data will be published Thursday. Malaysia will then observe a public holiday on Friday to allow private sector employees to travel home for Saturday's general election.