KUALA LUMPUR: Malaysian exports registered a stronger rebound in November, led by rising shipments of manufactured and agricultural goods. Sales were up by a robust 7.8 percent y/y, coming after two consecutive months of disappointment figures in which exports were down on average by about 5.8 percent y/y. It is worth noting that the earlier fall was largely due to the exceptionally high base in the same period in 2015. Coupled that with a 11.2 percent rise in imports, overall trade balance recorded a surplus of MYR 9.0 billion, reported DBS Group Research.
The rise in manufactured and agricultural goods exports were led by shipments of electrical and electronic products, and palm oil and palm-based goods. While the latter reflects the recovery in commodity prices, the former was driven by the pick-up in global electronics cycle amid stronger consumption growth in the US, they added. Looking ahead, as long as the drag from the slowdown in China does not become overwhelming, a stronger US growth juxtaposed with a relatively weak local currency will make for a brighter export outlook in 2017. Meanwhile, the FTSE Malaysia KLCI (KLSE) index traded down 0.33 percent at 1,670.01 points. Also, USD/MRY traded flat at 4.47 by 08:40 GMT.
