Asia's Ugly Duckling of the Year Is the Philippine Peso

[Happyhorn52]

While other Asian currencies have strengthened against the dollar this year, the peso has hit a more than 10-year low and remains locked out of the party. Some analysts say that’s because investors are spooked by simmering allegations that President Rodrigo Duterte was involved in unlawful killings and corruption in his former post, which he denies.

Duterte’s spokesman Ernesto Abella said in a text message Friday that the moves in the exchange rate have been driven by expectations the U.S. Federal Reserve will raise interest rates. The peso is down 1.3 percent this year, while the Korean won leads the pack of Asian currency gainers, rising 4.5 percent.

It could get worse for the peso before it gets better. Technical indicators suggest its decline will continue after it breached a support level of 50 versus the dollar last month. The peso touched 50.395 on Friday, its weakest since September 2006.

The peso will be 50.6 to the dollar by the end of September, according to the median estimate in Bloomberg surveys of analysts. Bank of the Philippine Islands, the country’s second-largest lender by assets, forecasts the slide to continue to 52.50 by the end of the year.

https://www.bloomberg.com/news/articles/2017-03-03/asia-s-ugly-duckling-of-the-year-is-the-peso-thanks-to-duterte

[mogo51]

Just shifting a little from the Peso, I cannot understand how Thailand manages to maintain its dollar/baht position.  The country's economy is weak, the military government has little or no economic expertise, nor strategies.

Their foreign policies and internal policies are erratic at best and foreign investment is leaving in earnest.

Oh well, in 4 months I will join the exit and go to the 'wild west' that is Philippines!

[sonjack2847]

9 hours ago, mogo51 said:

Just shifting a little from the Peso, I cannot understand how Thailand manages to maintain its dollar/baht position.  The country's economy is weak, the military government has little or no economic expertise, nor strategies.

Their foreign policies and internal policies are erratic at best and foreign investment is leaving in earnest.

Oh well, in 4 months I will join the exit and go to the 'wild west' that is Philippines!

Mate don`t go West as the Philippines is in the East

Sorry couldn`t resist

[Happyhorn52]

It's about the same distance either way I go!

[scott h]

On ‎3‎/‎11‎/‎2017 at 1:36 PM, Happyhorn52 said:

While other Asian currencies have strengthened against the dollar this year, the peso has hit a more than 10-year low

fine by me, my buying power has risen by 20% on 5 years

[Jack Peterson]

22 minutes ago, scott h said:

fine by me, my buying power has risen by 20% on 5 years

Yes but havn't all other currencies  fallen as well? so Status Quo (so to speak) 

[scott h]

Just now, Jack Peterson said:

Yes but havn't all other currencies  fallen as well?

Jack buddy, this is one time I relish in being the ugly, selfish, self centered American. As long as my dollar goes further, I don't care.

[Jack Peterson]

1 minute ago, scott h said:

Jack buddy, this is one time I relish in being the ugly, selfish, self centered American. As long as my dollar goes further, I don't care.

[Gator]

On 3/12/2017 at 7:55 AM, mogo51 said:

Just shifting a little from the Peso, I cannot understand how Thailand manages to maintain its dollar/baht position.  SNIP

Oh well, in 4 months I will join the exit and go to the 'wild west' that is Philippines!

More then likely the same way China does it = currency manipulation.

Good luck with the move!

[Tukaram (Tim)]

2 hours ago, scott h said:

fine by me, my buying power has risen by 20% on 5 years

 

Yep, me too. I get a lot more pesos to the same dollar than I got 4 years ago - and prices have stayed pretty steady here. So it has really helped me out a lot.  May not be great for their economy but it is nice on my budget. (steady prices? Actually we have had the jeepney fare lowered twice, and the cabs once. Many of the restaurants actually lowered prices too)