Peso closes nearly unchanged; stocks index slips

MANILA – The peso closed almost unchanged against the US dollar but at one of its strongest level in more than four years on Tuesday on positive news of a possible coronavirus vaccine, while the local stock barometer finished in the negative territory.

The local currency ended the day at 48.145 from Monday’s 48.205.

It opened the day at 48.24, almost unchanged from its 48.23 start in the previous session.

It traded between 48.14 and 48.24, resulting in an average of 48.18.

Volume totaled USD747.75 million, higher than the previous day’s US425.4 million.

Rizal Commercial Banking Corporation (RCBC) chief economist Michael Ricafort said the peso closed at one of its strongest level in more than four years due to “continued positive developments on vaccines for Covid-19 (coronavirus disease 2019), especially (by) AstraZeneca/University of Oxford.”

“(The) peso (is) also stronger as the US dollar declined to among 2.5-year lows recently on improved global market risk appetite, especially in emerging markets such as the Philippines,” he said.

Meanwhile, the Philippine Stock Exchange index (PSEi) shed after a two-day rally.

It finished Tuesday at 7,108.67 points, down 0.97 percent or 69.95 points.

Most other counters tracked the main index, with All Shares down by 0.60 percent, or 25.71 points to 4,228.55 points.

Mining and Oil index registered the largest drop at 1.67 percent, and was followed by Holding Firms, 1.48 percent; Industrial, 1.46 percent; Services, 1.09 percent, and Financials, 0.22 percent.

Only the Property index gained during the day and rose 0.28 percent.

Volume totaled 8.27 billion shares amounting to PHP12.95 billion.

Losers led gainers at 134 to 101, while 40 shares were unchanged.

“The PSEi succumbed to some healthy correction/profit-taking amid hefty gains recently but is still among eight-month highs,” Ricafort added.

Source: Philippines News Agency

Related posts