EUR/MYR Outlook: Slightly positive, but likely to move sideways. The euro is trading just below its recent average and within a stable range amid mixed market signals.
Key drivers:
• The European Central Bank is set to maintain a neutral monetary policy stance, which may keep the euro steady against the MYR.
• Malaysia's economy shows resilience with strong GDP growth and a widening trade surplus, bolstering the MYR's appeal.
• Oil prices are near recent highs, which can affect the MYR positively given Malaysia's reliance on commodity exports.
Range: EUR/MYR is likely to drift within its recent 3-month range as external factors influence both currencies.
What could change it:
• An unexpected rise in eurozone consumer confidence could strengthen the euro.
• A significant drop in oil prices could negatively impact the MYR, leading to a possible decline in the EUR/MYR rate.