Connect with us

Hi, what are you looking for?


Peso drops to near one-month low


THE PESO declined to a near one-month low on Wednesday, returning to the P56 level against the dollar, on less need for cash as the holiday season nears its end.

The local currency closed at P56.20 versus the greenback, down by 30 centavos from Tuesday’s P55.90 close, data from the Bankers Association of the Philippines showed.

This was the peso’s worst finish in almost a month or since it closed at P56.22 against the dollar on Dec. 1.

The peso opened Wednesday’s trading session at P55.90 per dollar, steady from its Tuesday close. Its intraday best was at just P55.89, while its weakest showing was at P56.30 against the greenback.

Dollars traded rose to $882.85 million from $813.27 million on Tuesday.

The peso dropped against the dollar “after the long Christmas holiday weekend and after the likely culmination and eventually tail-end of the holiday-related spending, though there may still be another round of increased holiday-related spending, though by a lesser extent, in preparation for the upcoming long New Year holiday weekend,” Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said in a Viber message.

“The seasonal peak in Christmas holiday spending and the conversion of overseas Filipino workers’ remittances to pesos could have already happened shortly before Christmas, though there may still be some holiday-related spending … before the New Year celebrations,” Mr. Ricafort said.

He said importers could have also taken advantage of the stronger peso recently to secure their dollar requirements, “especially anticipating any near-term bottom to maximize the bargain-hunting opportunity shortly before the Christmas holiday spending rush.”

Meanwhile, a trader said in a Viber message that the peso declined as the dollar was stronger against most currencies on Wednesday.

The dollar climbed to a more than one-week high versus the yen on Wednesday, on higher Treasury yields amid hopes for a strong rebound in China amid eased coronavirus curbs.

“Corporate demand also outweighed the dwindling seasonal inflows. Some covering of short peso-dollar trading positions was a factor as well,” the trader added.

For Thursday, Mr. Ricafort sees the peso moving between P56.10 and P56.35 against the dollar, while the trader gave a wider forecast range of P55.50 to P56.50 amid volatile trading. — AMCS

Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!



A man types on a computer keyboard in this illustration picture taken on Feb. 28, 2013. — REUTERS/KACPER PEMPEL/FILE PHOTO WASHINGTON — The Federal...


To reach more customers across the country, Globe, the leader in Mobile, is opening assisted registration in 30 branches of leading supermarket Puregold as...


REUTERS A landmark lawsuit by the US Justice Department against Alphabet’s Google over its dominance of advertising technology could help rivals and websites that...


North Atlantic Treaty Organization/Flickr STOCKHOLM — Swedish and Finnish hopes of quickly joining NATO (North Atlantic Treaty Organization) have run into an obstacle in...


Egg vendors arrange their products for sale at a store along Blumentritt in Manila, Jan. 26. Filipinos are grappling with soaring prices of food,...


ICC prosecutor authorized to reopen Philippines drug war investigation – BusinessWorld Online ...

You May Also Like


COVID-19 has had a significant impact on the mental health of Filipinos across different groups all over the archipelago. From frontline workers, parents balancing...


REUTERS By Luz Wendy T. Noble, Reporter The country’s foreign exchange buffers slightly increased as of end-October as the value of the central bank’s...


BW FILE PHOTO GROSS BORROWINGS by the National Government reached P2.6 trillion as of end-September as it continued to raise funds to respond to...


KARASOLAR.COM TENA, Ecuador — Ecuador’s rainforest Achuar people say their ancestors long dreamed of a “fire canoe” or “electric fish” that would let them...

Disclaimer: Respect, its managers, its employees, and assigns (collectively "The Company") do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2022 Respect Investment. All Rights Reserved.