The peso closed stronger Friday on positive news regarding the development of another coronavirus vaccine, and as US inflation slowed in October.
US biotechnology company Moderna, Inc. reported that it will move forward with its vaccine trials with an expanded the number of cases under study, which will trigger a stage of development known as the “first interim analysis” before an independent panel.
Meanwhile, the US reported inflation of 1.2% in October, down from 1.4% in September.
Core inflation which excludes volatile items like food and energy, was unchanged.
The peso closed at P48.21 against the dollar, against P48.27 on Wednesday, according to the Bankers Association of the Philippines. The market was closed Thursday due to typhoon Ulysses.
The peso opened the Friday session at P48.46, its low for the day. Its peak during the session was P48.20.
Dollar volume was $669.1 million on Friday, up from $507.9 million previously.
Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said in a text that the progress made by Moderna was a key catalyst.
Meanwhile, a trader said in an e-mail that the peso was also stronger after US inflation came in lower than expected.
On Monday, Mr. Ricafort expects the peso to trade between P48.15 and P48.30. The trader gave a range of P48.15 to P48.25. — Kathryn Kristina T. Jose