Peso Strengthens to 57-Level Against US Dollar as Philippine Stocks Decline

The Philippine peso strengthened against the US dollar, closing at ₱57.83 per dollar on Friday, marking its return to the 57-range for the first time since January 2, when it settled at ₱57.78. This improvement from ₱58.06 the previous day reflects positive sentiment in the foreign exchange market. Trading activity saw volumes increasing slightly to $1.66 billion, compared to the previous day’s $1.64 billion.

Stock Market Pullback Amid Stable Monetary Policy

In contrast to the strengthening peso, the Philippine Stock Exchange Index (PSEi) declined by 0.85%, closing at 6,061.33, while the All Shares Index fell by 0.51% to 3,629.28. Investors took profits after two consecutive days of gains, triggered by the Bangko Sentral ng Pilipinas’ (BSP) recent decision to maintain interest rates.

Sectoral Performance and Investor Sentiment

Most sectors experienced losses, with the property sector registering the sharpest decline of 1.89%. Only the mining and oil sector remained stable. Market breadth was evenly balanced, with 82 stocks advancing, 81 declining, and 69 unchanged.

Analysts suggest that market participants remain cautious, closely monitoring global interest rates, inflation trends, and geopolitical developments, all of which could influence investment strategies in upcoming trading sessions.

Sources and References

• Regina Capital Development Corp. market analysis

• Bangko Sentral ng Pilipinas (BSP) reports

• Philippine Stock Exchange market data