Peso retreats ahead of Fed chief Powell’s speech

The Philippine peso retreated against the US dollar on Wednesday as investors based their positions ahead of the speech of Federal Reserve Chair Jerome Powell.

The local currency lost 15 centavos to close at P51.46:$1, softer than Tuesday’s finish of P51.31:$1.

“The peso depreciated today as participants continue to position ahead of Federal Reserve Chairman Jerome Powell’s congressional testimony on monetary policy to the US Congress this week and ahead of the release of minutes of the June 2019 Federal Reserve policy meeting tomorrow,” Guian Angelo Dumalagan, market economist at Land Bank of the Philippines, said in an email interview.

Powell is scheduled to speak before the US the House Financial Services Committee on Wednesday and the Senate Banking Committee on Thursday. He is expected to answer queries regarding the economy and monetary policy.

Meanwhile, the US Federal Open Market Committee is scheduled to release the minutes of its June 18 and 19 meeting on Thursday, July 11.—VDS, GMA News