Worrying! Ringgit closed low up to 4.66


 Yesterday, the Malaysian Ringgit (RM) recorded a decline after a three-day trading increase after the announcement of the Malaysian Production Index (IPP) data following technical correction.

At 6pm, the ringgit was seen dropping to 4.6675/6725 compared to Monday at 4.6340/6400.

According to SPI Managing Director, the market stopped for a moment after a significant movement and predicted short -term direction especially after the Fed and US Bond Auctions.

Thus, the USD is seen showing higher trade value compared to the ringgit after a huge increase for the last three days.

The three major sectors of Malaysia, mining, manufacturing and electricity, were seen dropping by 0.5% last September based on the information of the Department of Statistics Malaysia (IPP).

Bank Muamalat Malaysia chief economy, Dr Mohd Afzanizam, said the IPP figure showed that the Malaysian economy was exposed to the external environment.

He added that the central bank is expected to maintain an accommodative stance to support growth.

According to the US Employment Data Report (NFP) on Friday, Dr Afzanizam considers it a common thing to look at some technical corrections to local units.