Peso goes firm ahead of remittance season

The peso gained strength on Tuesday, with the remittance season in the run up to the Christmas holidays just around the corner.

The peso settled at P47.10:$1 when the market closed, 12 centavos better than Monday's finish of 47.22.

"As the remittance season approaches, the strength of the Philippine peso overpowered yesterday's idle US dollar," MetisEtrade Inc. currency analyst Cherica Y. Vicente said in an emailed statement.

"The US dollar erased yesterday's gains against the Philippine peso following the Fed announcement on discount rates," Vicente added.

Vicente noted there was no significant change in the discount rates, so the impact on the currency market was minimal. – Jon Viktor Cabuenas/VS, GMA News