Latest news with #peso
Bloomberg
12 hours ago
- Business
- Bloomberg
Philippines to Step In Should Peso Weakness Threaten Prices
Philippine central bank Governor Eli Remolona said authorities are prepared to intervene more strongly in the foreign-exchange market should the decline in the peso threaten inflation. 'The effect of the exchange rate on inflation depends on how big the depreciation is, and we have estimates of that threshold,' Remolona said in an interview with CNBC on Friday. 'We would come in somewhat more forcefully than before' once such threshold is breached, he said.
Bloomberg
2 days ago
- Business
- Bloomberg
Philippine Central Bank Chief Calls Peso Intervention ‘Futile'
By and Prima Wirayani Save Philippine central bank Governor Eli Remolona said it's futile to intervene in the currency market to support the peso, which has fallen about 2% this month. 'It's futile to intervene when it's a strong dollar story driven by safe haven flows,' Remolona said in a mobile-phone message on Wednesday.
Bloomberg
09-06-2025
- Business
- Bloomberg
Argentina Eases Bond Auction Rules in Aim to Lure More Dollars
Argentina's central bank unveiled a slew of measures Monday aimed at helping the South American nation amass more hard-currency reserves, firepower the country needs to defend the peso. Officials said local currency bonds can now be purchased with US dollars and that the minimum time requirements for foreign investors to hold onto some Argentine bonds will be eliminated. The monetary authority also said it would unveil a second repurchase agreement with several international lenders, of as much as $2 billion, on June 11.
Reuters
06-06-2025
- Business
- Reuters
In Argentina, reserves build-up stalls as dollars exit
BUENOS AIRES, June 6 (Reuters) - The last eleven months have seen a net outflow of $12.3 billion from Argentina, affecting the central bank's ability to accumulate reserves, according to the bank's latest report. As President Javier Milei has attempted to maintain the value of the peso to combat high inflation, relatively high prices for domestic goods and services have encouraged imports and discouraged tourists. The report said that in April, 636 million more dollars left Argentina than entered, the latest in almost a year of outflows. This does not include funds from Argentina's recent deal with the International Monetary Fund. Argentina currently has 38.7 billion in dollar reserves and the $12 billion Argentina has received from the IMF so far has allowed it to lift capital controls that had long blocked foreign investment. "Payments for imports, the negative balance in services and interest, and the structural tourism deficit explain the deterioration of this account this year," it said. "The services sector registered a deficit of $1.161 billion in April ... This deficit was explained by net outflows under 'Travel, tickets, and other card payments,' 'Other services,' and 'Freight and insurance' …, partially offset by net inflows under 'Professional and technical business services,'" the central bank reported. Analysts predicted that the current trend is unlikely to reverse in the short term. "It is happening in an election campaign, with macroeconomic factors supporting the outflow of funds - purchase of goods and services, travel - and in a few months agricultural exports will decrease because of seasonal factors," with major harvests ending, said Pablo Besmedrisnik, economist and director of VDC Consulting. The same central bank report describes how the large fluctuations in the goods sector and continued deficits in the services and primary income, which includes interest payments and dividends, pose a challenge for the government's access to foreign currency.
Reuters
04-06-2025
- Business
- Reuters
Colombia inflation likely slowed in May, but up in full-year 2025: Reuters poll
BOGOTA, June 4 (Reuters) - Colombia's consumer price increases likely slowed slightly in May thanks to reduced pressure on food costs and the appreciation of the peso currency, a Reuters survey showed on Wednesday, though inflation expectations for 2025 overall grew. According to the median estimate of the 19 analysts surveyed, inflation likely rose 0.4% in May, below the 0.66% rise in April. Projections ranged between 0.15% and 0.54%. "During May there were pressures on services associated with the continued indexation of rents, also of regulated goods, especially public services," said Carlos Alberto Velasquez, head of economic investigations at Alianza brokerage. "However, pressures on food and goods were kept contained in response to the favorable behavior of the exchange rate," he added, referring to the 2.86% appreciation of the peso against the dollar. If analysts' median prediction is met, 12-month inflation through May will have reached 5.12%, well above the central bank's long-term target of 3%. Inflation expectations for the close of this year were up in the poll to 4.8%, from 4.55% in the previous survey, which would mark the fifth consecutive year of annual inflation being above the target. Expectations for the close of 2026 were also up in the poll, to 3.75%, from 3.61% in the previous survey. Inflation was a top factor in the April decision by Colombia's central bank board to cut the benchmark interest rate by 25 basis points to 9.25%, surprising the market. Inflation figures for May will be published on June 9.
