Connect with us

Hi, what are you looking for?

Top Stories

Editor's Pick

Peso weakens as Fed policy makers flag inflation risks

SAMSUNG CAMERA PICTURES

The peso weakened versus the greenback on Thursday as the minutes of the US Federal Reserve’s latest meeting showed policy makers are concerned over elevated inflation.

The local unit closed at P50.39 per dollar on Thursday, shedding five centavos from its P50.34 finish on Wednesday, based on data from the Bankers Association of the Philippines.

The peso opened Thursday’s session slightly weaker from its previous close at P50.35 per dollar. Its worst showing was at P50.545, while its intraday best was at P50.33 versus the greenback.

Dollars exchanged increased to $1.209 billion on Thursday from $909.4 million on Wednesday.

A trader said in an e-mail that the peso weakened as Fed officials flagged the possibility of continued elevated inflation.

The minutes of the Fed’s Nov. 2-3 meeting released Wednesday showed many central bankers were of the view that elevated prices could become more persistent, according to Reuters.

Based on the statement, many officials said the Fed should be prepared for a quicker tapering of asset purchases if inflation remains elevated.

Market participants also preferred the dollar over the peso following the release of data showing improvements in the US job market, Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said in a Viber message.

Data from the US Labor department showed initial jobless claims dropped to 52-year low of 199,000 for the week ended Nov. 20. This is the lowest level since mid-November 1969.

For Friday, both Mr. Ricafort and the trader gave a forecast range of P50.30 to P50.50 per dollar. — L.W.T. Noble with Reuters

Click to comment

Leave a Reply

Your email address will not be published.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

You May Also Like

Editor's Pick

The Board of Investments (BoI) has cleared Sinoma Energy Conservation (Cebu) Waste Heat Recovery Co. Inc. to serve as the operator of a 4.5-megawatt...

Forex

At a time when the world is battling to get through the dreaded coronavirus pandemic, protective face masks have come out to be the...

Editor's Pick

BEWARE the “lessons of history” as drawn by charlatans, ignoramuses, or tyrants, for they will be daft, wrong, and possibly disastrous. The self-serving amateur...

Editor's Pick

The world’s food-import bill is set to jump even more than expected to a record this year, increasing the threat of hunger, especially in...

Disclaimer: SecretsOfRichDads.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 © 2022 Secrets Of Richdads. All Rights Reserved.