Peso nears 44:$1 level as investors doubt euro debt solution
MANILA, Philippines—The peso fell again on the first trading day of the week and weakened to the 44-to-a-dollar territory in intraday trade as investors manifested doubts on the ability of concerned authorities to resolve the eurozone debt crisis soon.
The local currency closed at 43.99 against the US dollar on Monday, down by 27 centavos from Friday’s finish of 43.72:$1.
Intraday high reached 43.86:$1, while intraday low hit 44.04:41. Volume of trade reached $1.381 billion, up from $1.218 billion previously, as investors liquefied their assets, wanting to hold on to their dollars as the global economic outlook remains dim.
The peso dropped despite the scheduled meeting on Monday of eurozone officials on how to firmly resolve the crisis and avoid a contagion and recession.
Traders said investors have become impatient waiting for an effective solution to the debt crisis, and thus were not encouraged by reports of officials meeting to talk about possible solutions to the problem.
