HALISTER1: INSIDE MALAYSIA: Ringgit Weakens, Tracking Most Asian Currencies

INSIDE MALAYSIA: Ringgit Weakens, Tracking Most Asian Currencies

(Bloomberg) -- Ringgit reverses earlier gain, slides 0.5% to 4.1660 per dollar, swept up in broad dollar buying versus Asian currencies
  • USD/MYR on track to finish the week above 38.2% Fibonacci retracement of trading range since May; October was the last time this happened, as this chart shows
  • Pivot point at 4.1333; USD/MYR support at 4.1126, 4.0793, 4.0253; resistance broken at 4.1666 and 4.1873, above at 4.2413
  • Palm oil rises to 21-month high as stocks decline on El Nino
  • Malaysia to sell MYR4b 7.5-year bonds on Feb 16
  • Goldman Sachs forecasts USD/MYR at 4.60 in 3-months, 4.65 in 6-months and 4.70 in 12-months
    • Sees headwinds from further commodity price weakness, a slowdown in Chinese demand, U.S. rate normalization, governance issues at government-linked entities
    • Calls currency one of the most vulnerable in EM space
  • Ringgit 1-mo. NDF drops 0.7% to 4.1653
  • Brent crude up 3.5% to $31.11
  • Yield on 3.955% govt bond due Sept. 2025 up 1 bp to 4.063%
Alert: HALISTER1
Source: BFW (Bloomberg First Word)

Tickers
GS US (Goldman Sachs Group Inc/The)

To de-activate this alert, click here

UUID: 7947283