# Despite Lack Of Domestic Catalysts Ringgit Outlook Bullish

> Malaysia's ringgit strengthened by more than 1% against the dollar despite few domestic catalysts, helped by a dollar index drop below 102 on expectations of a less hawkish Fed. The article expects the shrinking yield gap with US Treasuries to pressure the currency going forward.

- Date: 2023-01-27 · published 2023-01-27T12:00:00.000Z
- Category: macro · region Malaysia · magnitude low
- Page: https://feedsoft.ai/events/38042-despite-lack-of-domestic-catalysts-ringgit-outlook-bullish
- Commodities: [Malaysian Ringgit (MYR per USD)](https://feedsoft.ai/c/USDMYR.md), [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md), [Palm Oil](https://feedsoft.ai/c/PALMOIL.md)

## Why it matters

A stronger ringgit and weaker dollar generally lower the local-currency cost of palm oil and other dollar-priced commodities. The outlook is mixed, so the price effect is limited.

## Read by commodity

- DXY: bearish ▼
- USDMYR: bearish ▼
- PALMOIL: neutral

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2025-09-17 | [BernamaBiz - Ringgit Opens Higher Against Us Dollar On Softer Fed Outlook](https://feedsoft.ai/events/23163-bernamabiz-ringgit-opens-higher-against-us-dollar-on-softer-fed-outlook.md) | +0.4% | +1.5% |
| DXY | 2021-08-27 | [Asian Currency Outlook: Bearish Bets Decline as Dollar Eases](https://feedsoft.ai/events/45814-asian-currency-outlook-bearish-bets-decline-as-dollar-eases.md) | -0.9% | -0.0% |
| DXY | 2024-04-30 | [Euro-Dollar: Inflation, GDP Data Prompts Hawkish Rethink of ECB Rate Outlook](https://feedsoft.ai/events/30941-euro-dollar-inflation-gdp-data-prompts-hawkish-rethink-of-ecb-rate-outlook.md) | -0.5% | -0.9% |
| DXY | 2022-12-30 | [Ringgit rallies on last trading day of the year on China reopening](https://feedsoft.ai/events/38497-ringgit-rallies-on-last-trading-day-of-the-year-on-china-reopening.md) | -0.5% | -2.3% |
| DXY | 2026-08-12 | [Commodities: Weaker Dollar lacks growth catalyst – BNY](https://feedsoft.ai/events/17811-commodities-weaker-dollar-lacks-growth-catalyst-bny.md) | -0.2% | -1.1% |
| PALMOIL | 2018-11-07 | [Grim outlook for ringgit as govt bites the bullet](https://feedsoft.ai/events/62313-grim-outlook-for-ringgit-as-govt-bites-the-bullet.md) | -4.4% | -5.5% |
| PALMOIL | 2021-12-27 | [Bullish Streak In Ringgit To Continue This Week](https://feedsoft.ai/events/43869-bullish-streak-in-ringgit-to-continue-this-week.md) | +1.4% | +12.7% |
| PALMOIL | 2024-09-29 | [Ringgit set to go below 4.1 against US dollar and continue rising amid cautious outlook on US data](https://feedsoft.ai/events/28586-ringgit-set-to-go-below-4-1-against-us-dollar-and-continue-rising-amid-cautious.md) | +9.1% | +9.7% |

## Sources

- businesstoday.com.my: https://www.businesstoday.com.my/2023/01/27/despite-lack-of-domestic-catalysts-ringgit-outlook-bullish/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.