Will the Malaysian Ringgit appreciate against the US Dollar?
The answer is no, in my personal opinion:
The United States is currently facing presidential elections. Faced with unknown answers, hot money is flowing out of the USA and into emerging markets, awaiting the new president to take office in the White House. The inflow of hot money into the USA market is solely because the US dollar equals oil. Which country in the world does not use oil? Moreover, the Federal Reserve (FED) specializes in harvesting funds from various countries, using interest rate hikes and cuts to bankrupt countries with negative assets. The Asian financial crisis in 1997 led Southeast Asian countries to seek help from the IMF at a high cost. In the 2008 mortgage crisis, Greece became the first country to go bankrupt. Similarly, after the pandemic, the FED swiftly raised interest rates in early 2022, leading Sri Lanka to become the first bankrupt country in 2024. The dominance of the US dollar shifts the US's own economic problems to other countries.
In Malaysia, in October, the government will propose the budget for 2025, but it is actually a plan to benefit only a select few, with politicians being the main beneficiaries. The common lbx pharmacy chain joint stock only receives a small amount of aid. The question is, where will the government find the money? Will the GST tax return? Will there be new taxes introduced or adjusted? As the national deficit increases, the Malaysian Ringgit may again head back towards RM4.50 against the US dollar within three months. Festive seasons see an inflow of money into Thailand while Malaysians set innovative records, overwhelming immigration checkpoints, resulting in a significant loss of foreign exchange. Additionally, post-pandemic, Malaysians are withdrawing from their savings just for material enjoyment. Over the past decade, there has been a large influx of foreign workers, leading to a significant outflow of foreign exchange. The recent adjustments in the Malaysian Ringgit are only short-term and may not be long-lasting, so it's advisable not to have high expectations!
Now is the best time to convert Malaysian Ringgit to US dollars, as investing often requires bold contrarian perspectives. Investing in US stocks with US dollars helps avoid the devaluation of the Malaysian Ringgit. Malaysian stocks are not bad! It's just that Malaysian stocks are tied to the unfair 30% equity restriction and compulsory policies, prompting acquisitions and have been away from the Malaysian stock market for many years, embracing the world outside! It’s not about lack of patriotism, it’s just that as a Malaysian born and bred for 51 years, confidence in this country has been lost! The above is purely personal sharing! Please do not take it personally.
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lcsiong1873 OP : Purely share!
lcsiong1873 OP : Purely personal sharing!
5326 : Not bad, reverse operation.
lcsiong1873 OP 5326 : No reverse operation! Just knowing in my heart that the Ringgit is not that strong!
103536745 : Thank you for sharing.![[undefined]](https://static.moomoo.com/nnq/emoji/static/image/default/default-black.png?imageMogr2/thumbnail/36x36 "undefined")
lcsiong1873 OP 103536745 : Purely share!
ais_tingkap : my personal view…i would like USD1 = RM6 asap
ais_tingkap : im bleeding seriously rn…
lcsiong1873 OP ais_tingkap : Perhaps in a certain year! Historically, the government has only been sketching grand plans and engaging in empty talk on economic growth and governance policies, causing the people to live in a level of inflated prices, not to mention that this country has not implemented reforms, with only one clan holding the most power, controlling the country's elections.
lcsiong1873 OP ais_tingkap : Don't be so pessimistic! Temporary exchange rate fluctuations, take a more optimistic view! After three months, everything will get better!
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