Peso ends flat amid con­cerns

Business World - - Front Page -

THE PESO ended flat against the dol­lar on Thurs­day even as risk-off sen­ti­ment overnight pushed the lo­cal cur­rency weaker in morn­ing trade. The peso ended the ses­sion at P54.18 ver­sus the green­back on Thurs­day, un­changed from its pre­vi­ous close. The peso opened the ses­sion weaker at P54.22 per US cur­rency and fell to an in­tra­day low of P54.28. Its best show­ing, on the other hand, was at P54.16 ver­sus the green­back.

THE PESO ended flat against the dol­lar on Thurs­day even as risk-off sen­ti­ment overnight pushed the lo­cal cur­rency weaker in morn­ing trade.

The peso ended the ses­sion at P54.18 ver­sus the green­back on Thurs­day, un­changed from its pre­vi­ous close.

The peso opened the ses­sion weaker at P54.22 per US cur­rency and fell to an in­tra­day low of P54.28. Its best show­ing, on the other hand, was at P54.16 ver­sus the green­back.

Dol­lars traded thinned to $665 mil­lion from the $720.8 mil­lion that ex­changed hands on Wed­nes­day.

A for­eign ex­change trader said the peso con­tin­ued to con­sol­i­date even as it traded weaker in the morn­ing ses­sion due to the risk-off sen­ti­ment among in­vestors.

“It’s a con­flu­ence of fac­tors. I would say fun­da­men­tal, po­lit­i­cal and eco­nomic fac­tors add up to the risk-off sen­ti­ment among mar­ket play­ers,” the trader said in a phone in­ter­view.

The trader cited con­tin­ued con­cerns over US-China trade ten­sions as well as ris­ing US Trea­sury yields.

“The risk-off sen­ti­ment did not have that usual ef­fect wherein you’d buy the dol­lar as a safe-haven move. It’s not the case now,” the trader said. “We’re just see­ing the dol­lar-peso con­sol­i­dat­ing at the mo­ment.”

Mean­while, UnionBank of the Philip­pines chief econ­o­mist Ruben Carlo O. Asun­cion said there were no sig­nif­i­cant drivers for the peso dur­ing Thurs­day’s ses­sion.

“US stocks de­cline didn’t even in­flu­ence the peso to de­pre­ci­ate as I have ex­pected,” Mr. Asun­cion said in a text mes­sage. “It may mean that fun­da­men­tals are re­ally in­tact at this point.”

For Fri­day. Mr. Asun­cion ex­pects the peso to move be­tween P54 and P54.20, while the trader gave a P54.10-P54.35 range.

THE PESO man­aged to pare its losses to close flat.

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