Peso sinks to fresh record-low of 59.22:$1

MANILA, Philippines, December 10 ------ The peso slumped to another all-time low yesterday, closing at 59.22 to the dollar as markets braced for a possible interest rate cut by the Bangko Sentral ng Pilipinas (BSP) and tracked stronger movements in the greenback overseas.

Data from the Bankers Association of Philippines showed that the local currency dipped by 28.5 centavos from its 58.935 finish on Friday. This is higher than the close recorded on Nov. 12, when the peso reached a previous low of 59.17 against the dollar.

The local currency opened at 59.08 yesterday and briefly strengthened to 59.07 before sliding to 59.22 at the close. Trading volume contracted by 23.2 percent to $1.09 billion from $1.42 billion in the previous session. The peso has now lost P1.375 or 2.3 percent from its 57.845 finish versus the dollar on Dec. 27, 2024. “The peso reached new lows as market views firmed that the BSP will very likely deliver a rate cut,” a trader said, adding that sentiment also soured on expectations that the US Federal Reserve could highlight upside inflation risks after core inflation stayed above two percent.

Another trader noted that the currency weakened as markets priced in the same prospect of a local rate cut, adding that the peso may stay under pressure ahead of the US JOLTS report, with intraday movements likely within the 59.10 to 59.35 range.

Source: philstar.com