Reported 8 months ago
The Philippine peso is on track to reach a record low as investors anticipate the central bank of the country to lower interest rates before the Federal Reserve. The peso, trading around its 2022 low of 59 per dollar, has depreciated by almost 6% this year. The bearish sentiment has strengthened after the Bangko Sentral ng Pilipinas hinted at potential rate cuts starting in August. Additionally, the central bank's contrast with other Asian peers in maintaining a hawkish stance while regional currencies decline could lead to further weakness in the peso, impacting the economy and inflation risks due to import costs.
Source: YAHOO