USD/MYR: BNM to prevent appreciation past key psychological level of 4.00 – Credit Suisse

Economists at Credit Suisse expect a USD/MYR trading range of 4.10-4.15 for the rest of Q4 2021 – and think that Bank Negara Malaysia (BNM) will likely prevent appreciation past the key psychological level of 4.00 in 2022.

USD/MYR to move within a range of 4.10-4.15 for the rest of 2021

“We think the central bank will continue to be biased towards reserve accumulation to promote growth and exports.”

“The prospect of higher US yields could also soften the favorable impact on the strength of the ringgit against the dollar from higher oil prices.”

“For the rest of 2021, we expect a USD/MYR trading range of 4.10-4.15, and that BNM will likely prevent appreciation past the key psychological level of 4.00 in 2022.”