KUALA LUMPUR (Mar 16): AmBank Group Research expects the ringgit (MYR) to test its resistance level of R1: 3.9272 and R2: 3.9369 as the relative strength index levels are climbing higher on both daily and hourly charts.
In his AmBankFXDaily note today, AmBank group chief economist and head of research Dr Anthony Dass said the MYR fell 0.3% to 3.9177 against the stronger USD.
“The KLCI dropped 0.6% to 1,845.27 with a net foreign outflow totaling RM22 million.
“Meanwhile, the 5-year Malaysian Government Securities yield stayed unchanged at 3.570%, while the 7- and 10- fell 1 basis point (bps) to 3.825%, and 1.5bps to 3.930%, respectively,” he said.
Dass said crude oil namely WTI and Brent rose 0.8% to US$61.21/barrel and 0.7% US$65.09/barrel respectively, after Energy Information Administration forecasted global demand to grow to a striking 1.5 million barrels per day (bpd) from 100,000 bpd for 2018 which should offset similarly rising US shale supply.
“The MYR also depreciated against regional peers like Singapore dollar by 0.4% to 2.9917, rupiah by 0.2% to 3,509.28, peso by 0.5% to 13.2595, as well as baht by 0.2% to 7.640. The 5 year CDS rose 0.78% to 62.59,” he said.