Tuesday 23 Jul 2024
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KUALA LUMPUR (Apr 17): AmBank Group Research expects the ringgit (MYR) to trade between its support level of S1: 3.8767 and S2: 3.8725 while the resistance is at R1: 3.8895 and R2: 3.8951.

In his AmBankFXDaily Note today, AmBank group chief economist and head of research Dr Anthony Dass said the MYR softened 0.2% to 3.8877 against the US Dollar.

He said it could be partly due to lower crude oil prices i.e. WTI and Brent which fell 1.5% to US$66.36/barrel and 1.4% to US$71.53/barrel respectively, on easing concern over the fallout from the geopolitical conflict between US and its allies with Syria due to a lack of response from the recent missile attack by the US and its allies.

Besides, he said there was some pressure from the yields especially with the rise in 7- year Malaysian Government Securities (MGS) by 1.5 basis points (bps) to 3.915% and 10-year MGS by 0.5bps to 4.005% respectively, while the 5-year MGS yield remain unchanged at 3.620%.

“But the KLCI which added 0.6% to 1,878.76 supported with foreign funds registering a net inflow of RM111.6 million would have provided some comfort to the MYR.

“The MYR weakened against regional peers including Singapore dollar by 0.2% to 2.9646, rupiah by 0.001% to 3,554.53, baht by 0.1% to 8.0280, and peso by 0.06% to 13.3939. The 5 year CDS fell 0.35% to 72.38,” he said.

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