Peso to trade sideways as stocks may decline

The Philippine peso is projected to trade sideways this week between 50.70 and 51.00 against the US dollar.

Last week, the peso strengthened by 0.55% after government measures were announced to support the economy amid the coronavirus pandemic.

The Philippine Stock Exchange index (PSEi) is expected to decline due to cautious trading as the Luzon-wide lockdown may be extended.

Philstocks Financial's Japhet Louis O. Tantiangco noted that gains last week, at 1.53%, were smaller than the previous week’s 10.21% climb, indicating diminishing bargain hunting and increasing selling pressures due to economic concerns.