Speculators keep USD at unreasonable strong position

It is always our view that USD is not supposed to be strong.  For whatever reason even if FED is going to raise rates few times which is impossible in short to mid term.  The rate is still ultra low as of now.

We still believe RM fair value at RM 3.50 vs 1 USD is a fair value.  Crude oil at USD 60 is a fair value and Gold above USD 1300 is a fair value and KLSE should be above 1700 as of now.

However, money flows in and out not just Malaysia but the world market in large scale that affected the sentiment.  As of short term, the current trend will persist.  But we will be in contra position.  just like when we buy overseas currencies when RM is strong.

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