{"id":180153,"date":"2018-09-05T22:55:44","date_gmt":"2018-09-06T02:55:44","guid":{"rendered":"https:\/\/canadianinquirer.net\/v1\/?p=180153"},"modified":"2018-09-05T22:55:44","modified_gmt":"2018-09-06T02:55:44","slug":"peso-ends-sideways-local-stocks-fall-hard-inflation-report","status":"publish","type":"post","link":"https:\/\/canadianinquirer.net\/v1\/2018\/09\/05\/peso-ends-sideways-local-stocks-fall-hard-inflation-report\/","title":{"rendered":"Peso ends sideways, local stocks fall hard on inflation report"},"content":{"rendered":"
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The local unit ended the day at 53.55 from day-ago\u2019s 53.535, which Landbank market economist Guian Angelo S. Dumalagan, traced to investors\u2019 anticipation for another hike in the Bangko Sentral ng Pilipinas\u2019 (BSP) key rates later this month. (Shutterstock photo)<\/figcaption><\/figure>\n

MANILA<\/strong>\u00a0— The Philippine peso was little changed against the US dollar Wednesday but the Philippine Stock Exchange index (PSEi) took a beating following the release of August’s inflation numbers, which increased risks caused by external developments.<\/p>\n

The local unit ended the day at 53.55 from day-ago\u2019s 53.535, which Landbank market economist Guian Angelo S. Dumalagan, traced to investors\u2019 anticipation for another hike in the Bangko Sentral ng Pilipinas\u2019 (BSP) key rates later this month.<\/p>\n

BSP\u2019s policy-making Monetary Board (MB) will have its sixth rate setting meet for the year on Sept. 27 and it is widely expected to increase key rates as inflation remains on the uptrend.<\/p>\n

In August, rate of price increases rose to 6.4 percent, the highest after the 6.6 percent in March 2009. Inflation last month was 5.7 percent. \u201cI think the assumption is they will raise rates 50 bps come Sept. 27 meeting,\u201d Dumalagan told the Philippine News Agency (PNA).<\/p>\n

Similarly, BPI lead economist Jun Neri said the peso\u2019s performance during the day is not surprising \u201cas most EM (emerging market) currencies have been under pressure since yesterday and continue to be under pressure today.\u201d He said some Asian currencies traded at or \u201cvery close to all-time lows\u201d at the start of Wednesday\u2019s session.\u201d<\/p>\n

The weakness of the equities market in the region also contributed to the currencies\u2019 weak performance, he added.<\/p>\n

For the day, the Peso opened at 53.535, from 53.5 the previous day, moving between 53.56 and 53.51, and resulting in an average of 53.547.<\/p>\n

Volume surged to 1.39 billion, more than three times the USD440.75 million a day ago.<\/p>\n

On the other hand, all equities counters ended in the red, with the PSEi down by 1.64 percent, or 129.55 points, to 7,752.27 points.<\/p>\n

Dumalagan said this \u201cmassive sell-off\u201d was the combined result of the Aug. 2018 inflation report, as well as anticipation of another hike in the Federal Reserve rates during the Federal Open Market Committee (FOMC) meeting on September 25-26.<\/p>\n

All Shares followed with a 1.33 percent, or 63.84 points, decline to 4,732.02 points.<\/p>\n

Financials led the sectors after it lost 2.81 percent, followed by Property, 1.86 percent; Mining and Oil, 1.67 percent; Holding Firms, 1.41 percent; Industrial, 0.88 percent; and Services, 0.45 percent.<\/p>\n

Volume reached 1.69 billion shares amounting to PHP5.9 billion.<\/p>\n

Losers led gainers at 146 to 51 while 38 shares were unchanged.<\/p>\n","protected":false},"excerpt":{"rendered":"

MANILA\u00a0— The Philippine peso was little changed against the US dollar Wednesday but the Philippine Stock Exchange index (PSEi) took …<\/p>\n","protected":false},"author":33,"featured_media":45358,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[19,43],"tags":[],"class_list":["post-180153","post","type-post","status-publish","format-standard","has-post-thumbnail","category-business","category-stock-markets","mauthors-joann-villanueva","mauthors-philippine-news-agency"],"_links":{"self":[{"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/posts\/180153","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/users\/33"}],"replies":[{"embeddable":true,"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/comments?post=180153"}],"version-history":[{"count":0,"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/posts\/180153\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/media\/45358"}],"wp:attachment":[{"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/media?parent=180153"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/categories?post=180153"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/tags?post=180153"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}