# Ringgit slump due to external factors, economists say | MalaysiaNow

> Economists attribute the recent ringgit decline mainly to external factors, notably expectations of Federal Reserve rate hikes and high US inflation of 8.3%. They say the currency's weakness does not reflect fundamental problems in Malaysia's economy. Malaysia's heavy reliance on food imports is adding pressure on the currency.

- Date: 2022-06-18 · published 2022-06-18T12:00:00.000Z
- Category: macro · region Malaysia · magnitude low
- Page: https://feedsoft.ai/events/41232-ringgit-slump-due-to-external-factors-economists-say-malaysianow
- Commodities: [Malaysian Ringgit (MYR per USD)](https://feedsoft.ai/c/USDMYR.md), [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md)

## Why it matters

A weaker ringgit raises the local cost of dollar-priced imports such as soybean meal, corn and other feed ingredients. Malaysian feed buyers face higher costs even though the domestic economy is not the main driver.

## Read by commodity

- DXY: bullish ▲
- USDMYR: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2018-09-13 | [Expect US dollar to continue rising against ringgit, say economists \| FMT](https://feedsoft.ai/events/63307-expect-us-dollar-to-continue-rising-against-ringgit-say-economists-fmt.md) | -0.5% | +0.2% |
| DXY | 2024-05-03 | [Delay in US rate cuts bad news for ringgit, say economists \| FMT](https://feedsoft.ai/events/30541-delay-in-us-rate-cuts-bad-news-for-ringgit-say-economists-fmt.md) | -0.2% | -0.3% |
| DXY | 2026-06-30 | [Ringgit slides as cautious markets await key US economic data \| Malay Mail](https://feedsoft.ai/events/19065-ringgit-slides-as-cautious-markets-await-key-us-economic-data-malay-mail.md) | -0.1% | -0.3% |
| DXY | 2022-07-06 | [Thai baht weakness driven by external factors, FinMin says \| Reuters](https://feedsoft.ai/events/40760-thai-baht-weakness-driven-by-external-factors-finmin-says-reuters.md) | +0.7% | -0.5% |
| DXY | 2023-09-27 | [Thai baht, Malaysian ringgit lead Asian FX lower on extended dollar strength - Markets - Business Recorder](https://feedsoft.ai/events/34366-thai-baht-malaysian-ringgit-lead-asian-fx-lower-on-extended-dollar-strength.md) | +1.1% | +1.1% |

## Sources

- malaysianow.com: https://www.malaysianow.com/news/2022/06/18/ringgit-slump-due-to-external-factors-economists-say

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