The Bangko Sentral ng Pilipinas (BSP) expects the weakness of the Philippine peso to ease following the choice of the US Federal Reserve to preserve its coverage prices unchanged.
An analyst shared the same view but cited investor sentiment ought to improve to in addition support the peso.
“The Fed’s keeping off further movement indicates it can be a bit bit extra affected person,” BSP Governor Amando Tetangco Jr. Advised journalists in a textual content message on Thursday.
The Fed stored prices unchanged however hinted a charge hike is in all likelihood inside the latter part of the 12 months, furnished that the financial system stays on course after the coverage-placing Federal Open Market Committee (FOMC) assembly on Wednesday (Thursday in Manila).
“For our markets, this will imply that we could in all likelihood see some slowing in the weak spot of the peso in the near term until the following Fed meeting again,” Tetangco said.
The peso dropped to its weakest stage in eight months in opposition to the greenback on Monday, last P47.89:$1.
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