By Tracy Cabrera
BGC, Taguig City — The Philippine peso weakened further, edging closer to its record low, while the stock market also declined as rising global oil prices and fading hopes for a US-Iran peace deal weighed on sentiment.
The peso slipped by one centavo to ₱60.71 against the US dollar, nearing its record low of ₱60.748 set at the end of March. Meanwhile, the Philippine Stock Exchange index (PSEi) fell by 42.34 points, or 0.71 percent, closing at 5,901.15.
The currency opened at an intraday high of ₱60.80 before dipping to a low of ₱60.60. Trading volume reached ₱1.409 billion, slightly higher than Friday’s ₱1.383 billion.
Rizal Commercial Banking Corporation chief economist Michael Ricafort said the peso’s weakness was driven by higher global oil prices following reports that US President Donald Trump called for the suspension of negotiators’ trips to Pakistan, which is mediating peace talks with Iran.
Philstocks Financial Inc. research manager Japhet Tantiangco added that uncertainty over the peace negotiations, along with expectations of rising inflation and interest rates, also pressured the local bourse.
Regina Capital Development Corporation head of sales Luis Limlingan noted that investors remained largely on the sidelines as they balanced macroeconomic risks against short-term growth prospects amid persistent inflation concerns.
Trading activity also softened, with net value turnover falling to ₱4.65 billion. Foreign investors remained net sellers, recording outflows of ₱677.34 million.
Trading Edge Consultancy chief investment strategist Ron Acoba said the market’s weakness could persist over the next one to two quarters, with banks and conglomerates likely under pressure from higher borrowing costs and subdued earnings growth.
ia/xf
