Daily Market Report (20 June 2019)
Thu, Jun 20, 2019 9:55 AM
- It is apparent that we are in the midst of entering another era of low interest rate regime. Though the Federal Reserves maintained the US rates for now, it is highly likely that rates will slide going forward as per the US 10-year Treasury yields which have dipped below the 2.0% mark to 1.97% currently.
- As a result, we would expect foreign funds to return to take advantage of higher returns from our 10-year MGS now at 3.69%. We also anticipate the Ringgit to strengthen in line with the declining rates in the US.
