The peso will likely weaken against the dollar for the rest of the week as the market await the policy meetings of the Federal Reserve (Fed) and European Central Bank (ECB).
On Monday, the local unit plunged to its 12-year low of P52.95 against the greenback, 25 centavos weaker than the P52.70-per-dollar finish logged the previous trading session.
Traders said the peso depreciated due to the “continuous market reaction” following the wider trade deficit and lower foreign exchange reserves.
Land Bank of the Philippines (LANDBANK) market economist Guian Angelo S. Dumalagan said on Saturday that the US currency could appreciate on Wednesday and early-Thursday ahead of the policy meeting of the Fed. – Karl Angelo N. Vidal