DRIVEN BY movements in global oil prices and ongoing geopolitical concerns, the Philippine peso recorded the second straight record-low at P62.68 for every US dollar, translating an alarming P14.5 centavo depreciation.
Peso sank to P62.68 to a dollar from Thursday’s finish of P62.50 surpassing the previous record of P62.625 recorded on Thursday. The drop is the 24th since January.
Security Bank Corp. chief economist Angelo Taningco attributed the plunge to global oil prices, which rose past $100 per barrel amid renewed US-Iran conflict and Saudi-Houthi clashes.
According to Taningco, a weaker peso contributes to higher overall inflation, as Filipinos would have to pay more for imported petroleum.
Iran earlier announced that it launched an advanced missile at American warships, warning of potential “economic warfare.” The Iran-supported Houthi militia also launched attacks on multiple cities in Saudi Arabia, suggesting the conflict may expand into a broader regional war.
