KUALA LUMPUR, April 22 — The Malaysian bond market last month registered its first foreign net outflow since November 2021, with the overall net outflow in March at RM4.0 billion compared with a net inflow of RM3.1 billion in February.
RAM Rating Services Bhd, however, said the cumulative foreign fund flow year-to-date remained positive at RM2.6 billion. The firm further said that the Fed now foresees six more 25 basis points hikes through the rest of the year, a sharp acceleration from its previous expectation of just two additional rate hikes. that balance sheet reduction could commence in May, which could be the equivalent of another rate hike for 2022.
“The pressure persisted into April, with these yields climbing further to 2.83 per cent and 4.02 per cent as of April 14,” the ratings agency said.