KUALA LUMPUR: Malaysian economy is expected to expand favourably this year driven by domestic activities driven by improving business and consumer sentiments and exports from semiconductors and resource-based activities.
AmBank Research said December leading index (LI), which monitors the economic performance in advance, rose 1.6 per cent year-on-year (YoY) in December from 4.4 per cent YoY in November 2016.
It added the coincident index which examines the current economic activity grew 3.2 per cent yoy while the lagging index rose 3.2 per cent YoY.
“We expect the domestic economy to remain healthy in 2018. Hence, we reiterate our 2018 gross domestic product (GDP) outlook of 5.5 per cent.” the research firm said in a report today.
The firm also noted the ringgit continues to soften slightly by 0.04 per cent to 3.9185 against the US dollar. The ringgit depreciated against regional peers including Singapore dollar by 0.1 per cent to 2.9623, peso by 0.6 per cent to 12.2302, and baht by 0.3 per cent to 8.0127, and rupiah by 0.2 per cent to 3,487.94. The local currency could trade between its support level of 3.9068 and 3.9008, the research firm noted.
Crude oil price for the Brent rose 1.4 per cent to US$67.31 per barrel, after Libya was forced to cut production due to disruptions to its key El-Feel terminal owing to protests over staff salaries and benefit.
