Trying to make a conversion of dollar to peso? Review that work and try to google it, for the Philippine Peso touches 51 to $1 ratio.
The peso reached an 11-year low of P51.08 to be exact, to the US dollar on Friday morning.
But according to Bangko Sentral ng Pilipinas (BSP) Governor Nestor A. Espenilla Jr., there’s no cause for worry.
“We’re constantly monitoring peso development for excessive short-term volatility,” said the central bank chief.
“We recognize that the market is also often self-correcting,” he added.
They specially watch peso movements that are “not consistent with underlying economic fundamentals and take appropriate action when necessary.”
Johanna Chua, Citi managing director and head of Asia Pacific economic and market analysis, said they think the peso will close at P51.1:$1 this year and that the current level is just a natural adjustment, a reaction of global and regional foreign exchange or FX movements.
“Weaker exchange is a natural buffer (and we often see) the BSP talking sanguine about the weaker currency. In the next months, bias and expectation of peso-dollar exchange (is it) will head higher.” The bank’s P51.1 forecast is good for six to 12 months,” She added.
In the recent weeks, the peso went down to its lowest levels in 11 years as imports put pressure on the local currency.
Meanwhile, Metropolitan Bank and Trust Co. research group expects the peso to range from P50 to P50.95 in the following days.