Published at 02:11 (GMT) 17 Sep
In line with our strategy view, USD/MYR staged a correction on return from Malaysia Day. Prices retraced below 3.2200 from Monday's close of 3.2250. Furthermore, the retracement appears to be modest, consistent with 1M NDF movements, partially due to cautiousness ahead of tonight FOMC rate decision and BNM meeting on Thursday. On the data front, Aug CPI is due later at 0900GMT where we expect a steady 3.2% y/y (Prev: 3.2).
In recap news, the government may announce new measures to control escalating house prices in the coming 2015 Budget to be tabled on 10 Oct, Deputy Finance Minister Ahmad Maslan said on 16 Sep (Bernama). Separately, MMC CORP Bhd may finally list its power unit Malakoff Corp Bhd under a USD1.0bn (MYR3.2bn) initial public offering (IPO) by the second quarter of 2015, now that the latter's finances have bounced back (NST). The IPO, which will be among the largest in Malaysia, has been postponed twice. BA
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