Peso slips back to P59:$1 level

The Philippine peso slipped back to the P59:$1 level on Wednesday following remarks from Donald Trump and the release of government data showing a decline in foreign direct investments (FDIs).

The local currency weakened by 27.4 centavos to close at P59.17:$1 on Wednesday, from P58.896:$1 on Tuesday.

Rizal Commercial Banking Corporation (RCBC) chief economist Michael Ricafort attributed the peso’s depreciation to mixed signals from the administration of Trump and the White House.

Trump earlier warned Iran against laying mines in the Strait of Hormuz, a key global shipping corridor, amid the ongoing conflict in the Middle East.

Meanwhile, data from the Bangko Sentral ng Pilipinas (BSP) showed that foreign direct investments into the Philippines fell to a five-year low of $7.791 billion, although this remained above the central bank’s $7-billion projection.

Ricafort said the peso-dollar exchange rate could range between P59.05:$1 and P59.30:$1 on Thursday, March 12.—MCG, GMA Integrated News