Connect with us

Hi, what are you looking for?


Peso weakens on China GDP data


THE PESO declined against the dollar on Tuesday as economic growth in China was stronger than expected in the fourth quarter, boosting the greenback and global oil prices.

The local currency closed at P54.82 versus the greenback on Tuesday, declining by 24.50 centavos from Monday’s P54.575 finish, data from the Bankers Association of the Philippines showed.

The peso opened Tuesday’s trading session slightly weaker at P54.60 per dollar. Its worst showing was at P54.93, while its intraday best was at P54.55 against the greenback.

Dollars traded rose to $1.373 billion on Tuesday from $1.27 billion on Monday.

“The peso weakened amid increased global activity prospects following the stronger-than-expected fourth-quarter Chinese GDP (gross domestic product) growth report,” a trader said in an e-mail.

The dollar index bounced from a seven-month low of 101.77 made a day ago, holding at 102.30, Reuters reported.

China’s economic growth in 2022 slumped to one of its worst levels in nearly half a century as the fourth quarter was hit hard by strict coronavirus disease 2019 (COVID-19) curbs and a property market slump, raising pressure on policy makers to unveil more stimulus this year.

China GDP grew 2.9% in October-December from a year earlier, data from the National Bureau of Statistics showed on Tuesday, slower than the third-quarter’s 3.9% pace.

The rate still exceeded the second quarter’s 0.4% expansion and market expectations of a 1.8% gain.

Meanwhile, Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said in a Viber message that the peso weakened as oil prices remained elevated.

US crude fell 0.69% to $79.32 a barrel, paring some morning losses, while Brent rebounded to gain 0.25% at $84.67 a barrel, still near their highest levels this month as easing COVID-19 restrictions in China raised hopes of a demand recovery in the world’s top crude importer.

For Wednesday, the trader said the peso may rebound against the dollar on expectations of a weak US producer inflation report.

The trader sees the peso moving between P54.70 and P54.95 per dollar on Wednesday, while Mr. Ricafort gave a slightly narrower forecast range of P54.75 to P54.95. — AMCS with Reuters

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!


Editor’s Pick

<?xml encoding=”utf-8″ ??> Pressure on the Tory Party chairman increases as the head of HMRC says there are no penalties for ‘innocent errors’. Nadhim...

Editor’s Pick

<?xml encoding=”utf-8″ ??> With the increased threat of industrial strike action looming across the UK, we consider whether a force majeure clause can strike...

Editor’s Pick

<?xml encoding=”utf-8″ ??> TSB’s 5,700 staff and executives are to share a 10% bigger bonus pot this year, after rising interest rates pushed the...

Editor’s Pick

<?xml encoding=”utf-8″ ??> NatWest is to shut another 23 branches in England and Wales, adding to a raft of high street banking closures already...

Editor’s Pick

<?xml encoding=”utf-8″ ??> Shell has put more than 2,000 jobs in the UK at risk after launching a “strategic review” of its domestic energy...

Editor’s Pick

<?xml encoding=”utf-8″ ??> British taxpayers have become shareholders in a further 53 companies backed by a government rescue funding scheme. These firms include a...

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.