Peso Gains vs. USD on Profit-Taking

The Philippine peso gained against the greenback Wednesday due to profit-taking and below-expected rise in US’ wholesale inventories for May 2016.

It finished the trade at Php47.21, better than the Php47.32 Tuesday, which a trader traced partly to the 0.1 percent rise of wholesale inventories in the world’s largest economy in the fifth month this year. Market expected a 0.2 percent rise.

The trader said recent rally of the greenback make some investors unload holdings and corporate demand has waned after they have finished their purchases for the month.

With this, the peso opened the trade at Php47.22, an improvement from the Php47.35 a day ago.

It traded between Php47.32 and Php47.17, resulting to an average of Php47.24.

Volume of trade reached US$ 598 million, lower than day-ago’s US$ 711.2 million.

The currency pair is seen to trade between Php47.20 and Php47.40 Thursday. (PNA) LGI/JSV