News about overnight

Bank Negara is scheduled to hold its sixth and final Monetary Policy Committee meeting for 2023 on Nov 1 and 2.

MIDF Research, however, thinks that the steady domestic demand and sticky core inflation that lingered above 3% — as opposed to the pre-pandemic average of 1.

“Core inflation eased to a lesser extent compared to headline inflation but the direction implies that inflationary pressures are easing.

The rate hike, after two consecutive pauses in early 2023 at 2.

"We believe loan growth will be supported by the resilient household sector on the back of improved income and steady labour market conditions, as reflected in the lower unemployment rate,” Kenanga said.

This is the second consecutive time the central bank maintained its benchmark interest rate after four straight hikes last year by a cumulative 100 basis points to tame inflation and respond to tightening fiscal policy by the US Federal Reserve.

In 2022, BNM raised the OPR four times at 25bps each, which upped the OPR level from its record low of 1.

This is the MPC’s third consecutive 25bps OPR hike this year, in line with 17 economists’ forecast polled by Bloomberg, bringing year-to-date increase to 75bps.

KUALA LUMPUR (May 11): Bank Negara Malaysia’s (BNM) Monetary Policy Committee (MPC) on Wednesday (May 11) increased the overnight policy rate (OPR) by 25 basis points to 2% from a record low of 1.

KUALA LUMPUR (Nov 4): Fitch Solutions, the research unit of Fitch Group, is expecting Bank Negara Malaysia to raise the overnight policy rate (OPR) by 50 basis points (bps) to 2.