I Guess we should all be happy

[Jack Peterson]

 I am sure we can all be happy today with the exchange rates But I am happy that the UK rate is as good as this******

1 Pound sterling equals

72.31 Philippine peso ********

[OnMyWay]

14 minutes ago, Jack Peterson said:

 I am sure we can all be happy today with the exchange rates But I am happy that the UK rate is as good as this******

1 Pound sterling equals

72.31 Philippine peso ********

The peso has dropped like a rock against all the major currencies this past week.  Anybody know what the news is that caused it?

[graham59]

I hope the pound stays strong.

Looking forward to the increased state pension next payment too.

[Old55]

We were pleased with the exchange rate during our recent visit.

On the other hand inflation is making life difficult for most Filipinos. 

[Lee]

8 hours ago, OnMyWay said:

Anybody know what the news is that caused it?

This article cite several reasons for the pesos value drop.

BSP: Peso depreciation due to dollar strength, not poor performance

Quote

 

Bangko Sentral ng Pilipinas (BSP) Governor Eli Remolona on Wednesday said he would not categorize the Philippine peso’s recent performance as “poorly”, saying it was just adjusting to events and its recent depreciation was more a reflection of the greenback’s strength.

In a press conference in Manila, Remolona said the peso was adjusting to several events overseas — initially the events in the Middle East, and today to a speech by Federal Reserve chair Jerome Powell.

“I think it’s adjusting to Powell’s speech that maybe they won’t ease until September or September is kinda how people interpret what Powell said, so there’s a postponement of when the FOMC (Federal Open Market Committee) will ease, so that has meant the weakening of other currencies,” he told reporters.

“So it’s not the case of a weak peso, it’s the case of a strong dollar. Unless the movements are very sharp, we tend to allow the adjustment to happen,” he added.

The Philippine peso depreciated by 19.2 centavos to close Tuesday at P57:$1, its worst performance in nearly 17 months since it closed at P57.375:$1 on November 22, 2022.

 

https://www.gmanetwork.com/news/money/economy/903903/bsp-peso-depreciation-due-to-dollar-strength-not-poor-performance/story/

[scott h]

9 hours ago, OnMyWay said:

Anybody know what the news is that caused it?

Lots of reasons from what I have read. Almost like the "perfect storm". But it seems that large investors are fleeing to Gold and the dollar. I looked at some graphs and it seems to have started when Russia invaded Ukraine, with all the European gas and food problems. Then another big bump when Hamas hit Israel last October, the latest "bump" was when Iran sent those missiles and drones. Add to that the very high US federal interest rate, big investors can make more money investing in US bonds than small overseas corporations and the like.

Then throw into the mix all the Philippine internal politics. The latest spat between Marcos and the Duterte clan, those rumors a couple of weeks ago about the Army not supporting the President, the failure to improve infrastructure and decrease red tape, on top of the whole South China sea thing, has really spooked big foreign investors the last couple of years who would rather do business with a stable communist country (Vietnam) than a chaotic democracy lol.

But the bottom line is...........................I LOVE IT!!!

 

[RBM]

11 hours ago, Jack Peterson said:

 I am sure we can all be happy today with the exchange rates But I am happy that the UK rate is as good as this******

1 Pound sterling equals

72.31 Philippine peso ********

Seem to remember at one time, perhaps 15 years ago was around 100 Jack

[Mike J]

49 minutes ago, RBM said:

Seem to remember at one time, perhaps 15 years ago was around 100 Jack

Not sure about the pound but here is a chart for the US dollar.

 

<snip> The data reached an all-time high of 58.825 in Oct 2022 and a record low of 2.000 in Jan 1962. <end snip>

Edited April 26 by Mike J

[BrettGC]

AUD has surged as well so I suspect it's more to do with the Philippine economy rather than any of our home currencies on the rise.  For example the AUD has remained relatively stable against the USD, GBP and Euro in comparison to the PHP.  The big question is how long it will last if it's not just a "blip" or not?

Biannual CPI (inflation) rise on my military related pensions and Australian income tax cuts come July are looking even better if this keeps up.  Yes, Aussie military and government pensions are taxed at the same rates as income tax. 

[Lee]

2 hours ago, BrettGC said:

Yes, Aussie military and government pensions are taxed at the same rates as income tax. 

Same as the US.