The US Dollar falls -0.23% against the Ringgit this Wednesday and is now trading at 4.7160. The downward movement comes amid the release of Producer Price Index (PPI) data for the USD, which came in higher than expected, but lower than the previous reading (current reading at 0.5% and previous reading at 0.7%). This points to a possible scenario of controlled inflation in the US, which could cause the USDMYR to devalue in the medium term. Investors should pay attention to the release of Consumer Price Index (CPI) data for the US tomorrow, which could cause a lot of volatility in the markets. The CPI measures the variation in the price of goods, products and services sold to the end consumer and is the main indicator of inflation in the USA. If this number comes higher than expected, it could make the USDMYR to appreciate. From a technical perspective, as USDMYR managed to break above resistance on the daily chart, it is possible that it could continue rising until the next resistance at 4.7475.
USD/MYR Technical Analysis
