Peso to hit P46: $1 by year-end

Early forecasts of a peso rebound against the US dollar have been all but forgotten as the stronger US economy and volatility in global markets have lowered expectations for the local currency, analysts and traders told The Manila Times.

With the peso closing above P45 to the dollar on successive days this week, forecasts for the exchange rate by year-end have been raised to a range of P44.70 to P46.00, in stark contrast to forecasts of a range of P41.00 to P44.00 at the beginning of the year by the Bangko Sentral ng Pilipinas (BSP) and French banking giant Credit Agricole.