# Ringgit will not face extreme volatility thanks to managed float | Malay Mail

> Malaysia's central bank said the ringgit will not face extreme volatility because it operates under a managed float that targets fair value against a currency basket. The ringgit had been under pressure all week after the collapse of the Pakatan Harapan-led government, which was partly stabilised by Bank Negara's assurances.

- Date: 2020-02-26 · published 2020-02-26T12:00:00.000Z
- Category: macro · region Malaysia · magnitude low
- Page: https://feedsoft.ai/events/54843-ringgit-will-not-face-extreme-volatility-thanks-to-managed-float-malay-mail
- Commodities: [Malaysian Ringgit (MYR per USD)](https://feedsoft.ai/c/USDMYR.md)

## Why it matters

Central bank management limits the risk of sharp ringgit swings, so USD/MYR is expected to stay in a contained range. This means little direct price pressure on feed inputs.

## Read by commodity

- USDMYR: neutral

## Sources

- malaymail.com: https://www.malaymail.com/news/money/2020/02/26/ringgit-will-not-face-extreme-volatility-thanks-to-managed-float/1841188

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