BNM could fire their interest rate weapon shore up the Ringgit but also scare because running risk of stagnating the economic growth and goes into recession that's because the heavy debt of many household (also businesses) could explode if interest rate rises another percent.

Also, why would Obama interested in Malaysia Oil? One Bakken production site in USA can drown entire Malaysia.
USA got their own oil now, that's why world market for oil price so cheap now. The cost of production in Malaysia (at deep sea) is quite high and as price of oil goes down, the Msia govt could be losing money just to get oil out.
That's probably why the only way for govt to get more money is thru GST - to tax those who are getting away without paying forms of income tax.

This post has been edited by danmooncake: Jul 5 2015, 11:32 PM

danmooncake,

Raising tax aka GST will cause the following too.

<< running risk of stagnating the economic growth and goes into recession that's because the heavy debt of many household (also businesses)>>

In summary, there is no way out for Malaysia.

Dreamer

I tot Bursa close now

Msia main GDP export are 1) semiconductors and electronic equipment, 2) palm oil, 3) petroleum and liquefied natural gas, 4) wood and wood products, rubber, textiles, chemicals, solar panels. For high cost of petroleum digging and with low petrol price, why need to meet the equilibrium ? As long as export in # 1 and # 2
are still sustaining, country economy grow should be meeting 4% this year. TOP 3 WORLD credit rating agencies gave below grade M'sia on its credit :-
Standard & Poor's:-
A+ (Domestic)
A- (Foreign)
A+ (T&C Assessment)
Outlook: Stable
Moody's:
A3
Outlook: Positive
Fitch:
A-
Outlook: Stable

Weak RM help on Export than Import and TOURISM Business here.

1) https://www.cia.gov/library/publications/th...ok/geos/my.html
2) https://en.wikipedia.org/wiki/Economy_of_Malaysia
3) http://www.tradingeconomics.com/malaysia/exports

Expect USD will be higher and higher coming years, as USA Central Bank (FED) going to raise interest rate, as major hedge funds/investment companies
will sell emerging/developing country stocks and put their $$ work harder in US Stock/Equities/Bonds to generate higher yield (Return of Investment).

SPECIAL NOTE:- What you seen in WhatsApp, FB or other social networking (with PHOTO EDIT) doesn't picture the right information. Have a great day.

This post has been edited by netmask8: Jul 6 2015, 12:03 AM

Now = this period
Now =/= now this hour

Today is Sunday, where got bursa open haha

It's so darn odd..you know.. the US Fed just "hinting" they want to raise interest rate by end of this year, it's only at 25bps.
Imaging if US rate at same level at Malaysia OPR @ 3.25%. People will shit in their pants because they borrow too much..

Nobody dispute malaysia is a great country and has great future in its economy. The problem is not its economy. The problem is the people running it.

Just take the example of Apple. It has great products and business model. Just like malaysia. But if Tim Cook and his team doesn't give confidence to the investors (news like WSJ reporting Tim Cook transfer billions of Apple's money into his own personal account), then no investor will want to hold Apple's share. The share price will crash to the bottom. Even if later Tim Cook is proven didn't do it, the damage is already done

Ringgit is experiencing this at the moment. Its not about fundamental or intrinsic value anymore

Feel very sad and helpless. If I am just a shareholder of Apple, I can just sell the share, pat myself on the back and say "tough luck" and continue with my life. But malaysia is not just an investment, it's my country.....

anyone watching?

3.8010

http://www.bloomberg.com/quote/USDMYR:CUR

With Greece vote for No in the referendum, USD is expected to rise further.
So won't surprise RM vs USD > Rm3.80 or may even more.

1.00 USD = 3.80351 MYR

3.95, 4.20 here we go


Attached thumbnail(s)

if the dramas continue in that direction, that will come faster than expected.


at this minute, against usd:

aud -0.45%
nzd -0.16%
yen -0.13%
sgd -0.36%
baht -0.14%

rm -0.70%
3.8065

This post has been edited by AVFAN: Jul 6 2015, 10:46 AM

I guess Malaysian assets are going to look more and more interesting from a price perspective to foreign investors.

hey hey hey... whatca know.

We're back to 1998-2005 pegged value again. One big circle in ten years time.

yeah, and with rm700 billion more debt.

http://www.tradingeconomics.com/malaysia/external-debt

Today was an disaster. Rebound in few hours after Greek case.

thanks unker jibby..

kerana mu skrg rm3.81/usd

marked-

rebound just u turned back to 3.82 on spot trading, gonna be a very volatile week

Zeti is widely regarded as one of the best central bankers in the world, but her term ends next year.
Who will be the next head of Bank Negara?