THE Philippine peso sank to a new record low of P58.50 against the United States dollar on Friday.

The peso exchange rate opened trading at P58.33, with a high of P58.50, low of P58.25, with a weighted average of P58.349.

Friday's volume hit $985 million, lower than the previous session of $1.51 billion.

Economists said this is the 10th record-high closing rate for the US dollar/peso exchange rate since the start of 2022.

Friday's data followed previous records on September 2 (P56.77:$1), September 5 (P56.999:$1), September 6 (P57.00:$1), September 8 (P57.18:$1), September 16 (P57.43:$1), September 20 (P57.48:$1), September 21 (P58.00:$1) and September 22 (P58.49:$1).

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The peso also depreciated by a total of P7.501, or 14.7 percent, since the start of 2022 or from P50.999:$1 at end-2021.

On the other hand, the US dollar is higher than the peso for the eighth straight week, by P1.07, or +1.9 percent, which is bigger than the previous week's P0.61, or 1.1 percent.

Michael Ricafort, chief economist at Rizal Commercial Banking Corp., told The Manila Times that the peso exchange rate again posted a new record low for the fourth straight day on Friday after the US Federal Reserve (Fed) made another rate hike.

"More Fed rate hikes increase the attractiveness of the US currency with higher interest rate income on US dollar deposits and fixed-income investments," said Ricafort.

"Global crude oil prices eased to among two-week lows and also near 8-month lows (Nymex at $82 per barrel levels), which could somewhat reduce the country's oil import bill and ease inflation, going forward," he added.

Tiziana Celine Piatos