Connect with us

Hi, what are you looking for?

Stock Markets

Peso rises after gov’t RDB sale, US CPI report

THE PESO strengthened versus the greenback on Wednesday after the government’s maiden sale of retail dollar bonds and softer US inflation in August.

The local unit closed at P49.79 per dollar on Wednesday, appreciating by 12 centavos from its P49.91 finish on Tuesday, data from the Bankers Association of the Philippines showed.

The peso opened Wednesday’s session at P49.92 per dollar. Its weakest showing was at P49.935, while its intraday best was at P49.75 versus the greenback.

Dollars exchanged dropped to $654.8 million on Wednesday from $678.45 million on Tuesday.

The peso rose after the Bureau of the Treasury’s maiden offer of onshore retail dollar bonds (RDBs).

The government raised an initial $866.2 million from the papers on Wednesday. Broken down, the Treasury borrowed $551.8 million from the five-year notes and $314.4 million via the 10-year RDBs during the price-setting auction on Wednesday.

The offer was upsized from the initial plan to raise just $200 million from each tenor after demand for the papers hit $938.2 million.

Meanwhile, the trader said data showing slower US inflation in August also boosted the peso.

The US Labor Department on Tuesday said the overall consumer price index (CPI) rose 0.3% in August, slowing from the 0.5% in July, Reuters reported. This is also softer than the 0.4% estimate by economists in a Reuters poll.

Core inflation, which excludes volatile food and energy components, rose by 0.1%, marking the slowest increase since February and also easing from the 0.3% in July. It was likewise softer than the 0.3% estimated by economists in a Reuters poll.

For Thursday, Mr. Ricafort gave a forecast range of P49.70 to P49.90 per dollar, while the trader expects the local unit to move within P49.65 to P49.90. — LWTN with Reuters

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

You May Also Like

Breaking News

TikTok is one of the most rapidly growing platform. People across all the spectrum of age, gender, communities are joining the platform to...

Finance

Having a good Instagram marketing agency to back up your Instagram account is an absolute must going into the new year. With competition...

Breaking News

The $160,000 SS Dolphin is a hybrid 1950s Corvette clone from China – Business Insider Amazon Prime Day Business Insider logoThe words “Business Insider”....

Finance

A shopping centre in Coventry that eight years ago was valued at £37 million was sold this week for only £4.9 million, setting...

Disclaimer: CaptainOfSuccess.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice.
The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2021 Captain Of Success. All Rights Reserved.