Because of the commitment to bring down the budget gap, investors are now rewarding the government through fresh foreign direct and portfolio investments.
The strong remittances and additional government spending this year should help mitigate the adverse impact of additional taxes and high oil prices on consumer spending.
The flows are getting bigger. We're sending more workers and we're sending more teachers compared with entertainers. So when they remit, it's bigger.
It is a calibrated and preemptive response to rising inflation. They are more concerned with containing inflation pressures arising from higher value-added tax and crude oil prices.
The risk to the administration seems to be dissipating ... we will probably see a more stable market next week.
Next week, I expect the peso to test 51. With the lifting of the state of emergency, the focus of financial markets will shift back to fundamentals.
Next week, I expect the peso to test 51.
The peso is likely to test the 51-to-one levels as early as next week.
The peso attempted to breach the 53 level for the first time in over two years. The next target would be for the peso to reach the 52-to-a-dollar level.
There could be a quarter-point increase every quarter to (a total of) one percentage point for the full year.
