Peso retreats further on global economic uncertainties

The Philippine peso retreated further against the US dollar on Tuesday, dragged by bleak global economic prospects.

The local currency lost 0.3 centavos to close at P48.078:$1 versus Monday's finish of P48.075:$1.

Tuesday's depreciation came as the head of the International Monetary Fund (IMF) said the lender would need more resources to help countries given uncertainties on the global economic outlook

"It will continue to be so important, even more important, for us to be able to expand our capacity to support countries that have fallen behind," IMF managing director Kristalina Georgieva was quoted as saying in a Reuters report.

Such development, a foreign exchange trader from a local bank, said weighed slightly on the peso.

"Uncertainties in the global economy are pushing investors to converge into safe-haven assets such as the dollar," the trader said.—AOL, GMA News