USD/MYR Approaches 200-DMA, Umno Deny Holding Talks With PKR

Spot USD/MYR jumped after the re-open, catching up with overnight greenback strength, but stopped short of attacking the nearby 200-DMA. It last sits at MYR4.1312, off highs but still +78 pips higher on the day.

• In local politics, Umno said it will not cooperate with PKR in the upcoming general election, despite earlier suggestions from PKR leader Anwar that there have been discussions between the two parties.
• The Star circulated an exclusive piece noting that "Malaysia's anti-monopoly authority, which has slapped over MYR160mn in penalties against companies, is now focusing its investigations on bid-rigging in government tenders worth billions of ringgit."
• Bursa Malaysia CEO informed that plantations will have to obtain Malaysian Sustainable Palm Oil certifications for physical delivery of crude palm oil in FCPO contract from Apr.
• Malaysia and Singapore confirmed that they are working on reciprocal vaccination certification in a bid to reopen travel between the two countries.
• International Trade & Industry Min Azmin pushed back against suggestions that Malaysia is losing out on foreign investments to its neighbour and argued that "we are now more selective in terms of investments coming into our country."
• A clean break above the aforementioned 200-DMA at MYR4.1393 would prompt bulls to take aim at MYR4.1745, the high print of Nov 4. Bears look for a retreat under Mar 18 low of MYR4.1020.
• Malaysian CPI hits the wires later today. BBG consensus forecast is for headline CPI to register at +0.2% Y/Y, with estimates ranging between -0.7% to +0.6%.