Peso slides on news of bird flu, North Korea nuclear test

MANILA, Philippines—The peso continued its slide on the first trading day of the week as the bird-flu scare in China and Taiwan, and the nuclear program in North Korea bothered financial markets.

The local currency closed at 41.27 against the US dollar on Monday, down by 11 centavos from Friday’s finish of 41.16:$1.

Intraday high hit 41.17:$1, while intraday low settled at 41.315:$1.

Volume of trade reached $859.8 million from $1.116 billion previously.

The depreciation of the peso came following reports that bird flu broke in China and spread to Taiwan. The health problem is seen adversely affecting the tourism industry and, if not contained, could drag economies.

Moreover, the fall of the peso and other actively traded Asian currencies came following reports of North Korea’s preparations for a missile test.

Traders said the developments in the Philippines’ neighboring countries have dampened appetite for assets in the region, including peso-denominated ones.

source: business.inquirer.net

Peso falls as excitement over investment grade rating eases

MANILA, Philippines—The peso fell on the first trading day after the Lenten break as the euphoria over the Philippines’ attainment of an investment grade eased.

The local currency closed at its intraday low of 40.84 against the US dollar on Monday, down by 4 centavos from the finish of 40.80:$1 on March 27.

Intraday high hit 40.75:$1. Volume of trade reached $530.4 million from $1.14 billion previously.

Traders said the volume of trade eased and demand for the peso tempered as the foreign exchange market felt downbeat following the Lenten break.

Last Wednesday, the last trading day before the break, the market was lifted by the announcement that Fitch Ratings gave the Philippines its first investment grade from a major international ratings firm.

Traders said fund owners would look for fresh leads in the coming days to guide their investment decisions.

source: business.inquirer.net