FW: [Maybank] PHP: Possible BSP Inaction On Benign Inflation Weighs

 

GBL: PHP: Possible BSP Inaction On Benign Inflation Weighs FX Flash by Saktiandi Supaat FX Research Since 4 Aug, the 2.3% dip in the PHP against the USD was not similarly matched by its peers. Our investigation suggests that the trigger for the sell-off in the PHP against the USD since 4 Aug was the market re-pricing a no hike decision by the BSP this year and hence positioning for further PHP weakness. This could have led corporates and importers to bring forward their demand for USD and a sell-off in government debt that weighed on the PHP. Saktiandi Supaat    (65) 6320 1379    saktiandi@maybank.com.sg Leslie Tang    (65) 6320 1378    leslietang@maybank.com.sg