Peso keeps upward trend

The local currency maintained its upward momentum closing at a near two-month high against the US dollar on Monday even as the Philippine Stock Exchange index (PSEi) slipped on profit-taking.

The local unit gained 30 centavos after closing at 52.85 from 53.15 Friday last week, ahead of the release of July inflation figures today. The local currency closed at its strongest level after the 52.70 finish on 8 June 2018.

It opened the day at 53.1, better than the 53.15 start in the previous session.

It traded between 53.135 and 52.84, resulting to an average of 53.04.

Volume reached $892.9 million, higher than the $595.15 million at the end of last week.

ING Bank Manila senior economist Joey Cuyegkeng, in a research note, expected stronger output from emerging market currencies this week following the weaker-than-expected data from the US last week.

One of these economic reports is the July 2018 nonfarm payrolls which increased at its lowest rise since last March.

Eagerly being awaited by investors are government’s July 2018 inflation report on Tuesday; the June 2018 trade data on Wednesday and second quarter 2018 gross domestic product on Thursday. Also due on Thursday is the Monetary Board’s policy rate decision. With PNA