THE Philippine peso sank to an unprecedented low against the US dollar on Friday, driven by firming global oil costs and persistent geopolitical tensions in the Middle East that bolstered demand for the safe-haven greenback.
Closing at ₱62.59 to $1, the local currency shed 7 centavos from Thursday’s finish of ₱62.52, eclipsing the previous record trough of ₱62.565 set just two days earlier on September 2.
Rizal Commercial Banking Corp. chief economist Michael Ricafort traced the peso’s slide to elevated crude prices, which have lingered near three‑month highs in the wake of renewed tensions involving Iran. Brent crude climbed to $95 per barrel — levels not seen since July 24, and among the highest since early June — raising the country’s import bill and fueling demand for dollars to purchase energy.
The sustained strength of oil prices and the US currency underscores the external pressures weighing on the peso. Higher energy costs widen the nation’s trade deficit, while Middle East uncertainty keeps investors anchored to the dollar, further pressuring the local unit. Market watchers remain watchful for any easing in tensions or oil prices that could offer the peso reprieve from its record‑setting slump.
metrosundaily
