With the FED rate just hiked in & WTI breaking below 36.00 (35.95) currently; it is frankly rather hard to see (in a logical manner) how the RM can get stronger in the coming week...

USD should also "technically" be strengthening due to the FED rate-hiked as well...

According to sources, the USD is set to continue strengthening against all of the other major currencies for now...

The second half of December 2015 has seen a weak month for the USD indeed, having softened against all of the other major currencies in the thin holiday market trading conditions, as traders are taking their year end break away from trading before deciding to make any trading decisions yet... (But the rally of the USD will begin again as soon as the first week of 2016 as traders & investors are anticipating no less than 4 incoming rate hikes from the FED in 2016...)

As the market draws to a close right before the new year just now, the USD started to gain stronger again as traders started placing their confidence in the USD...;

Dollar Firms as 2015 Draws to a Close:
December 31, 2015 13:38 ET (18:38 GMT)
By Ira Iosebashvili

The dollar rose against most major currencies on Thursday, as traders closed out the year betting on a rise in the U.S. currency.

The Wall Street Journal Dollar Index, which gauges the dollar against a basket of 16 other currencies, was recently up 0.2% at 90.19. The index has gained more than 8% this year, buoyed by expectations of an interest-rate increase from the Federal Reserve.

The central bank raised rates for the first time in nearly a decade on Dec. 16, and is expected to further tighten monetary policy next year.

Higher borrowing costs are a boon to the dollar, as they make the currency more attractive to yield-seeking investors.

"The improving yield appeal of dollar assets in a Fed tightening cycle remains the single biggest driver of the greenback over the long-term," wrote Omer Esiner, chief market analyst at Commonwealth Foreign Exchange, in a note to clients.

"As such, 2016 is widely expected to see the greenback add to 2015's gains."

In New York trading, the euro was recently down 0.5% at $1.0870. The dollar was down 0.3% against the yen at Y120.20. Sterling was off 0.5% at $1.4750.

Write to Ira Iosebashvili at ira.iosebashvili@wsj.com

(END) Dow Jones Newswires

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P.S.; the WTI oil price "shoot-up" very close to 38.30 just earlier (just moments before the market closed) due to the thin market trading conditions..., but it is still forecast that the oil price will continue declining further in 2016 (as the supply are still well exceeding the demands)...

We will see what happens to USDMYR then...

This post has been edited by kEITh_22b: Jan 1 2016, 04:30 AM

Dollar Stronger Across Asia With Global Risk Aversion -- Market Talk

January 04, 2016 19:17 ET (00:17 GMT)

0017 GMT [Dow Jones] The safe haven U.S. dollar is up broadly across Asia for a second day as risk aversion that was sparked by a sharp drop in Chinese stocks Monday roiled global markets overnight, sending U.S. stocks down 1.5%. The fallout of Monday's plunge in the China stock market may yet be over, as traders brace for a possible end of a six-month equity-selling ban this week, which could unleash a deluge of pent-up pessimism among investors.

The sense of global risk aversion was reinforced by a rise in gold prices, even as the U.S. dollar index rallied; the price of gold, denominated in dollars, typically falls as the greenback rises. A continuation of the risk-off theme is likely, and therefore the dollar might keep climbing versus emerging market currencies, unless China's stock market manages to rebound significantly. (ewen.chew@wsj.com)

Editor: MNG

(END) Dow Jones Newswires



Even though if MYR may not weaken at all, the USD is still looking set to get stronger in 2016...

This post has been edited by kEITh_22b: Jan 5 2016, 09:10 AM

This coming Monday 2 things can start to happen;

1: The market condition in China can start to improve for the better... Or;
2: the market condition in China can remained as bad as of now, or deteriorate even further...

If NO. 2 happens, then we can start to see the strength of the Japanese Yen, USD, & Gold to persist stronger as it is already right now (or even strengthening even further); as investors will flock to these mentioned assets (as the safe havens) when the markets are bad; as they already did in the past few days when the markets were falling... Secondly, all of those commodity based currencies such as the AUD, NZD, CAD, ZAR, MXN, & even our MYR will continue to be hit pretty badly... Somehow this current situation China is also causing the price of crude oil to fall, & commodity prices to deteriorate as well (all except the Gold metal)... As the China's currency gets weaker, the strength of the USD greatly increases in the opposite direction, so this basically puts pressure on the commodity prices worldwide in general... Even the SGD currency seem to be affected by the current China's market condition too, as it seem to be weakening because of this... Finally, MYR/USD will continue to go down as long as the USD continues to get stronger, & (or) if the price of crude oil continues plunging further...

If NO. 1 happens, then we will start to see the complete opposite to happen; the strength of USD, JPY, & Gold will start to ease weaker (as the confidence & sentiments in the market improves & investors start to ditch those safe haven assets to play the stock markets once again); when the USD gets weaker, then the prices of commodities are less suppressed & can improve (hence improving those commodity country's economies as well); all of this is provided if China's situation can start to improve in the coming week... But it will be hard to say for the price of crude oil to go up higher again (due to a continuing oversupply conditions)... MYR/USD may only go higher if the crude oil price go higher, & (or) if the USD gets weaker...

Also very important to note; is that the US Federal Reserve will only increase the interest rates only if the global economic situation & the inflation numbers can improve to their level of call for the next rate hike... Thus, if the FED does not increase the interest rates (due to a poor/non-improving global economic condition), then it will be hard for the USD to get any stronger, but if the FED do hike the interest rates, then the USD will obviously just get stronger... The FED may find it hard to increase the interest rates if the bad economic situation in China keeps persisting & affecting the whole global economic situations outlook as such (e.g. a grossly stronger USD vs a grossly weaker Yuan just doesn't seem to get along well for the whole world's economy)...

So all eyes could be on China for the things to come...

This are just my speculations of things to come...

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This post has been edited by kEITh_22b: Jan 16 2016, 08:26 PM