The peso closed at its highest level in two months on Wednesday, tracking regional currencies that saw a boost from higher oil prices.
The Philippine currency gained 33 centavos to finish at P46.14 to $1 from P46.47 on Tuesday. Wednesday’s close was the strongest since August 11’s P45.93:$1.
“The peso trading saw further gains today following the appreciation of the Malaysian ringgit and the Singaporean dollar following the bounce in oil prices,” said Jonathan Ravelas, chief market strategist at Banco de Oro.
Brent crude rose 5.2 percent to $51.80 a barrel, while US benchmark West Texas Intermediate crude rose 4.91 percent at $48.53 a barrel.
“Support lies at P46/P46.25 levels, at which demand support is expected to rise given the recent movements,” Ravelas said of the peso.
The local currency opened at P46.40 to $1 at the Philippine Dealing System on Wednesday before trading between P46.14 and P46.44.
Total volume transacted rose to $1.242 billion from $1.109 billion in previous trade.