Peso tracks weakness of other currencies’ vs dollar

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The peso slipped on Wednesday, May 9, retreating to the P52 level, as the dollar strengthened across a band of currencies and amid the country’s wider trade deficit.

The local currency closed the session at P52.015, 16.5 centavos weaker than the P51.85-per-greenback finish on Tuesday.

The peso traded weaker the whole day, opening the peso at P52 against the US currency. It slipped to as low as P52.055, while its best showing for the day stood at P51.95.

Dollars traded grew slightly to $733.9 million from Tuesday’s $727 million.

Traders interviewed Wednesday said the peso slid as it tracked the weakness of other currencies against the dollar.

“The peso was just keeping in track with the global dollar move as it strengthened overnight,” a currency trader said over the phone.

Another trader said that the market has been “seeing a broad-based US dollar up-move,” although it was contained in the dollar-peso exchange.

“We’re moving down, but the peso was resilient compared to the other Asian currencies. I guess one of the reasons why is that market players continue to hike rates tomorrow,” the trader said. — Karl Angelo N. Vidal