Ringgit Malaysia Strength Not Benefiting Equities
Another month of outflow from equities. Despite funds flowing back substantially into Asian equities in March (USD4b, vs USD2.7b outflows in February), Malaysia continued to experience a fourth consecutive month of foreign funds outflow from its equity market. The Ringgit has nevertheless benefited from foreign funds flows, especially bond prices. We believe Invest Malaysia announcements were positive for equities, but may not have moved the needle much.