KUALA LUMPUR (Jan 17): AmBank Research foresees the ringgit (MYR) trending cautiously at its support levels of 4.0985 and 4.1028 while the resistance is pegged at 4.1117 and 4.1151.

In his AmBankFXDaily note today, AmBank group chief economist and head of research Dr Anthony Dass said the ringgit weakened 0.07% to 4.109.

Dass, who is also adjunct professor in economics at University of New England, Sydney, Australia, said the local index lost 0.38% to 1,673.1.

“Meanwhile in the fixed income market, IRS 3y was traded below KLIBOR 3M levels on the back of talks of a potential dovish BNM during its upcoming MPC meeting.

“The Malaysian Government Securities 3-, 7-, and 10-year yields were unchanged at 3.575%, 3.885% and 4.060% respectively while the 5-year yield lost 0.5 basis point to 3.730%,” he said.

Dass said a reported 2.68 million bbl draw was larger than the expected 1.50 million bbl that resembled a crude market recovery with Brent topping the US$60 mark, jumping 1.12% to 61.32 while WTI added 0.38% to 52.31.

“The ringgit slid 0.09% to 3.034 against the SGD; softened 0.72% to 7.717 against the baht but rose 0.20% to 3,438.2 against the rupiah and appreciated 0.33% to 12.71 against the peso by the end of the day,” he said.