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USD/MYR has strengthened past............>

DOLLAR-MYR
DOLLAR-MYR: USD/MYR has strengthened past yesterday's high and is currently
hitting its best levels since Nov 2017. The ringgit has traded on a softer note
alongside the broader Asian EM basket as a growing concern over the global
spread of Covid-19 remains. The recent round of risk-off flows has been noted as
South Korea's case count rose past 1,000. In combination with Malaysia's
domestic political turmoil, fear of the epidemic pushed USD/MYR through a key
resistance from the Sep 3 multi-year high yesterday.
- Malaysia remains mired in a political crisis as PM Mahathir scrambles to form
a new gov't after the ruling coalition broke down. The King will gauge sentiment
among 132 MPs today in a second round of interviews with lawmakers.
- USD/MYR trades +57 pips at MYR4.2395, with bulls looking at a series of highs
from Oct-Nov 2017 in the MYR4.2437-40 area as their next target. Bears need a
retreat under the Sep 3 high of MYR4.2297 to expose MYR4.2000, the Feb 24 low.
- There are no more local data releases slated during the remainder of this
week, but next week the focus turns to a monetary policy decision from the BNM &
Malaysia's trade data for the month of January.

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