Espenilla vs speculators: Who really dictates the exchange rate?
Giving these warnings are actually tempting more players, one stockbroker said.
Nicky Franco, head of research at Abacus Securities, said stern warnings given by Bangko Sentral ng Pilipinas Governor Nestor Espenilla, Jr. against those toying with the foreign exchange market could do more harm than good for the peso.
Espenilla said they are ready to flex “full regulatory powers” on speculators who are pushing the peso-dollar rate even lower, which is now trading at P53.
“Warning speculators is tantamount to goading/challenging them,” Franco said in a Tweet.
Warning speculators is tantamount to goading/challenging them ? https://t.co/5LnFAyrwr6
? Nicky Franco (@HoR_102) June 20, 2018
The BSP raised rates on Wednesday, June 20 but that did little in bringing the currency to stronger levels.