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Peso Firms On Optimistic Covid Musings

PHP

Spot USD/PHP re-opened on a softer footing this morning, ticking further away from the nearby technical resistance from PHP51.500. The rate deals -0.075 at PHP51.310 after trimming some losses, with bears setting their sights on PHP50.955/50.900, which represent the low prints of Jan 12/5. Bullish focus remains on PHP51.500, which limited gains twice last week.

  • USD/PHP 1-month NDF last seen +0.070 at PHP51.460. Topside focus falls on Jan 18 high of PHP51.950, while bears take aim at the 50-DMA, which intersects at PHP50.794.
  • OCTA Research said that Covid-19 infections in Metro Manila appear to have peaked last week and it is possible that the capital region could move down a notch to Alert Level 2 by next month.
  • On Thursday, the Philippines Statistics Agency will public December trade data and Q4 GDP.

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