Connect with us

Hi, what are you looking for?

Economy

Decline in US yields pushes peso up vs dollar

THE PESO gained versus the greenback on Monday following the downward correction in US Treasury yields.

The local unit finished trading at P48.58 per dollar on Monday, strengthening by four centavos from its previous close of P48.62, data from the Bankers Association of the Philippines showed.

The peso opened the session at P48.59 per dollar. It dropped to as low as P48.62 while its strongest showing was at P48.56 against the greenback.

Dollars traded increased to $634.8 million on Monday from the $588.6 million seen on Friday.

The peso climbed versus the dollar following a decline in yields of 10-year US notes, a trader said in an email.

US Treasury yields retreated on Friday as the market absorbed cash from the fiscal stimulus package, Reuters reported.

The 10-year note saw its yield at 1.7264% on Friday, down from the 1.754% on Thursday, which was the highest since January 2020.

Meanwhile, Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said the peso gained after the reimposition of restriction measures, as this could impact the country’s imports.

“Tighter restrictions for the next two weeks could slow down economic recovery and result in slower pickup in imports as well,” Mr. Ricafort said in a text message.

Metro Manila and surrounding provinces Bulacan, Cavite, Laguna and Rizal were placed under stricter restriction measures for two weeks starting Monday. Non-essential travel beyond the bubble is prohibited during the period.

New infections hit a new daily record of 8,019 on Monday, bringing the total to 671,792, based on data from the Department of Health. 

For today, the trader gave a forecast range of P48.50 to P48.70 per dollar, while Mr. Ricafort expects the local unit to move within the P48.53 to P48.63 band. — LWTN

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Get the daily email that makes reading the news actually enjoyable. Stay informed and entertained, for free.
Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!

Latest

Investing

The national pig herd has lost-one tenth of all sows over the last six months, farmers’ associations have revealed, after breeders were forced into...

Investing

EasyJet plunged £213 million into the red in the Christmas quarter and is still burning through £150 million in cash each month, putting its...

Investing

A new range of healthy yet indulgent cookies will launch in Booths this month for just £1 per pack with the UK-born snacks by...

Investing

Payments firm Checkout.com has raised $1bn (£730m), giving it a $40bn (£29bn) valuation and crowning it the UK’s most valuable private fintech. The London-headquartered...

Investing

Sylvera, a UK-based startup that provides ratings for carbon offsets, has raised $32.6m (£24.1m) in a Series A funding round to accelerate and expand...

Investing

UK-based fintech Everything has raised €2m (£1.67m) to reinvent a decades-old financial product: premium bonds. The raise was led by a group of angel...

You May Also Like

Investing

Having a good Instagram marketing agency to back up your Instagram account is an absolute must going into the new year. With competition stronger...

Economy

Ivermectin, an existing drug against parasites including head lice, has had a checkered history when it comes to treating COVID-19. The bulk of studies...

Investing

Insomnia is the most common sleep disorder in the global population. Therefore, it is a problem that many people suffer or have suffered throughout...

Investing

As a traditionally rigid insurance industry becomes bogged down by antiquated processes and operations, a handful of industry leaders are seeking to shake things...

Disclaimer: SmartRetirementReport.com, its managers, its employees, and assigns (collectively "The Company") do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2021 SmartRetirementReport. All Rights Reserved.