Unfazed By Local Trade Report

Ringgit shows little to no reaction to the release of Malaysia's trade data and USD/MYR trades +100 pips at MYR4.0500. Trade surplus shrank to MYR16.60bn in Jan from MYR20.69bn, against median forecast of MYR17.00bn. Exports rose 6.6% Y/Y, slightly slower than expected, while imports increased 1.3% Y/Y, topping projections.

• Malaysian Department of Statistics highlighted that "Malaysia's trade in January 2021 amounted to RM162.6 billion, expanded by 4.1 per cent as compared to the same month in the previous year. Exports posted a stronger Y/Y growth compared to imports, registering an expansion of 6.6 per cent from RM84.1 billion to RM89.6 billion. This was the highest export value ever recorded for the month of January. Imports rose by 1.3 per cent to RM73.0 billion, resulting in a trade surplus of RM16.6 billion, 38.0 per cent higher compared to January 2020. On a M/M basis, exports, imports, total trade and trade balance posted a decrease of 6.4 per cent, 2.7 per cent, 4.8 per cent and 19.8 per cent, respectively." Click here for the full release.
• Elsewhere, the Department of Statistics noted that sentiment among Malaysian businesses deteriorated in Q1.