Lumaktaw sa pangunahing content

Peso projected to enter P47:$1 level

The exchange rate between the Philippine peso and the US dollar (USD) is likely to touch the P47:$1 level this month on the back of still weak greenback and seasonal inflows, according to analysts.

Union Bank of the Philippines chief economist Ruben Carlo Asuncion said the local currency may breach the P47:$1 territory next week within the range of P47.95 to P48.25.

“It is the longer-term weakness of the USD with the anticipated smooth transition of presidential power in the US and a waning coronavirus outbreak in 2021,” he added.

Asuncion also factored in the “seasonal strength” of remittances coming from overseas Filipinos, and the rise in commercial flows during the Christmas season.

For his part, Rizal Commercial Banking Corp. chief economist Michael Ricafort said a P47.90 to P48.00 trading range of the peso against the US dollar “ is within striking distance.”

He also took into account the expected seasonal increase in overseas Filipino dollar remittances and its conversion to peso for Christmas spending.

Ricafort added that other catalysts for the peso-dollar movement include the further progress on vaccines for the coronavirus disease 2019 (Covid-19), trend in new local cases, progress on the government’s legislative reform measures, and any developments in the United Kingdom-European Union trade deal.

The exchange rate outlooks compare to the P48.06:$1 closing on Friday, which was the last trading day of November.

The local currency finish at over four-year high and gained 5 centavos from the P48.11:$1 finish the previous day.

The government has a peso-dollar exchange rate assumption of P50 to P52 this year, a revision of its previous P50-to-P54 expectation.

Earlier, Bangko Sentral ng Pilipinas (BSP) said it expects the peso to sustain its strength on favorable investment sentiment and the gradual reopening of the country’s economy.

Over the near term, the peso should continue to reflect prevailing demand and supply conditions in the foreign exchange market, according to BSP Governor Benjamin Diokno.

“Favorable investor sentiment over the economy’s fundamentals is expected to provide support [for] the currency,” he added.

This is amid weaker inflows of exports, tourism receipts and remittances from overseas Filipino workers, which were affected by the Covid-19 pandemic.

“The peso is also expected to benefit from the gradual reopening of the economy amid ample policy support coming from the fiscal and monetary authorities,” Diokno further said.

For its part, the BSP highlighted its continued adherence to a freely floating exchange rate in line with its mandate to promote price stability and be consistent in its inflation-targeting framework for monetary policy.


Source: ManilaTimes
Mga etiketa:

Mga Komento

Mag-post ng isang Komento

Mga sikat na post sa blog na ito

Inflation seen to pick up in Jan

The Bangko Sentral ng Pilipinas (BSP) said on Friday the country’s headline inflation likely rose to 3.7 percent this month on higher prices of fuel, meat and sin products, and on increased power rates. A shopper checks out goods at a stall in a market on Commonwealth Avenue in Quezon City on Tuesday.PHOTO BY RUY MARTINEZ In a statement, BSP Governor Benjamin Diokno said January’s point inflation estimate was within the 3.3- to 4.1-percent forecast range of the central bank. The outlook was faster than the 3.5-percent consumer price growth in December 2020 and the 2.9 percent a year earlier. The Philippine Statistics Authority (PSA) will release official January inflation data on February 5. “Higher prices of fuel and meat, as well as increased Meralco (Manila Electric Co.) power rates and excise taxes on alcoholic beverages and tobacco, contributed to upward price pressures during the month,” Diokno said. Local oil companies hiked fuel prices three times this month. Price incr...
Mag-post ng isang Komento
Magbasa nang higit pa

Signs Of Cervical Cancer All Woman Should Know

Cervical or cervix malignancy can be risky in women. Though the statistics of this disease are shocking, if diagnosed early it can be treated. Cervical malignancy is due to the highly infectious HPV or human papillomavirus.  It is sexually transmitted and exists in different forms. A HPV infection may disappear without treatment or develop to an abnormal cell development that could cause cervical cancer. 7 Signs of Cervical Cancer Continuous pain in the legs, hips or back The swelling in the cervix may compress other organs. This may make it difficult for blood flow in the veins and may prevent blood from reaching the pelvis and legs, thus pain and swelling in the legs. Abnormal discharge When the disease starts to develop in the cervix, the uterine divider cells begin to loosen hence a watery discharge. Pain or bleeding Cervical tumor may develop on the cervix’s dividers which can dry out and eventually burst, hence distress and rectal or bladder bleeding. ...
Mag-post ng isang Komento
Magbasa nang higit pa

The National Museum – in step with the ‘new normal’

Even as vaccines begin to make their way around the world, museums and galleries are most likely among the industries which will be last to make a complete return to operations. Here in the Philippines to be specific, museums and galleries, along with cultural centers and libraries, are considered non-essentials and can only open under Modified Enhanced Community Quarantine (MGCQ), with corresponding rules on safety. The National Museum The National Museum The National Museum The National Museum The National Museum The National Museum The National Museum The National Museum It has therefore been quite a while since the National Museum of the Philippines complex in Manila saw long queues of guests, which of course has been very disheartening for the community. But just like the rest of the nation, the vanguards of the country’s precious arts and artifacts proved to be resilient, resourceful and innovative as they quickly built and steeled an online presence through...
Mag-post ng isang Komento
Magbasa nang higit pa