(Kuala Lumpur, 31st) The exchange rate of the Malaysian ringgit against the US dollar fell again and again. Analysts believe that the economic performance of China, the largest trading partner, has a great relationship with the exchange rate of the ringgit . , the ringgit may face further depreciation pressure.

"Bloomberg" pointed out that the daily correlation between the ringgit and the offshore yuan was 0.47 this quarter, the highest level in the region.

"And China is Malaysia's largest trading partner, even surpassing Singapore and the United States."

Just released on Wednesday (30th), China's manufacturing purchasing managers index (PMI) in May was 48.8%, down 0.4 percentage points from the previous month, lower than the expected 49.5, and it was the third consecutive month of decline, lowest since December.

"Bloomberg" believes that with the sharp decline in the index, the performance of the Malaysian ringgit may further deteriorate afterwards.

"While the performance of the Korean won and Taiwan dollar is usually the follower of China's economic growth prospects, South Korea and Taiwan's technology outlook is more optimistic, so both the Korean won and the Taiwan dollar saw a lot of buying in May."

So far this quarter, the Malaysian currency is the worst-performing currency in emerging Asia.

Malaysia, a net oil-exporting economy, has also been weighed down by low crude prices. Oil prices in New York fell 4.% or US$3.21 yesterday, falling below the US$70 a barrel mark to close at US$69.46 a barrel.

On the last day of May, according to Bank Negara, the exchange rate of Malaysian ringgit against the US dollar fell from 4.4525 ringgits on May 3rd to 4.6035 ringgits on May 31st (as of 9 am), a drop of 3.39%. The lowest point of the month was RM4.62 on May 25, the lowest since November 11 last year.

https://www.klsescreener.com/v2/news/view/1...%B7%8C%E5%8A%BF

This post has been edited by premier239: May 31 2023, 02:17 PM

thank you china.

Just like share market. The more people want to buy one particular share the higher the price goes.

The USD is like share. Most people around the world is buying USD. The value goes up even though US has deficit in trillion. /k also don't keep MYR and /k are the most significant role player with > 20k monthly

Xi Xi Pee sohai betul

Bloomberg barua PN want to discredit Kerajaan Madani

Macai PH: Because other country does not have PuAS

salahan siapa for being so close to Da Ge explicitly, instead of being neutral, somemore shout to speed up de-dollarization

now kena aimed liao

malaysians should buy more china products.

Today China stock market drop a lot

PN parking for LOL

weak myr is because of malay government, China economy stronk or weak demand is their problem. no need to point finger at other markets. if malaysia not diversifying enough meaning malay government fails. malaysia has some pool of unemployed workforce start making use of them.

This post has been edited by Avex: May 31 2023, 03:05 PM

largest trading partner, not like more then 50% rely on China, like that also one to blame one particular country, should blame all the top 5 trading partner then, global recession is looming

This is why don't put all in a same basket. We are too depends on China.
Should explore more Europe market.

大哥行不行啊

Bbb

LOL MYR what also cannot ... rely US can't rely China also can't... go holland dy

Bloomberg macai PN 🤣🤣🤣🤣

China artificially depreciates their currency buy makes up with their USD earnings and paying their workers salaries according to industry standards to keep their talents.

Malaysia just follow blindly but cannot afford to follow what big brother can do.

Too dependant on crude oil

相信党，增强四个意识、坚定四个自信、做到两个维护、狗屁