Ringgit to move in range of 3.9585 – 3.9715 against USD today, says AmBank Research

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KUALA LUMPUR (May 17): AmBank Group Research expects teh ringgit (MYR) to trade within its support level between 3.9585 and 3.9529 and resistance level between 3.9715 and 3.9804.

In his AmBankFXDaily note today, AmBank Group chief economist and head of research Dr Anthony Dass said focus of the day would be Malaysia Q1 2018 GDP with AmBank’s in-house projection of 5.5%.

Dass said the MYR fell 0.3% to 3.9683 against the US Dollar partly due to stronger dollar.

“Also, the KLCI saw a net foreign outflow of RM320 million while the local bourse closed 0.5% higher to 1,858.26.

“Besides, the 5-, 7-, and 10-year Malaysian Government Securities yields rose 3.0 basis points (bps) to 3.870%, 3.0bps to 4.010%, and 1.0bps 4.180% respectively,” he said.

He said meanwhile, crude oil prices for WTI and Brent rose 0.2% to US$71.45/barrel and 1.0% to US$79.22/barrel, respectively as the U.S. Energy Information Administration announced that the US surplus shrank by 1.4 million barrels despite the increase in production.

“The MYR strengthened against regional currencies like Singapore dollar by 0.2% to 2.9540, rupiah by 0.1% to 3,552.45 but weakened against baht by 0.7% to 8.0672, peso by 0.6% to 13.1837. The 5 year CDS rose 0.63% to 84.93,” he said.