Strength to strength: With improved sentiment in the ringgit, it makes sense for exporters to sell US dollars forward on any move higher. Exporters should be happy if they get around 4.30 to the US dollar again. – Reuters
WITH the ringgit strengthening against the US dollar, is it time to watch out for export-oriented stocks that derive a bulk of their earnings in US dollars?
“We can still find shelter in export-oriented and healthcare stocks, as it is better than depending on a domestic market with shrinking purchasing power,” said Pong Teng Siew, head of research, Inter-Pacific Securities.
