July 7 (Bloomberg) -- The Philippine peso rose for an eighth day, its longest winning streak since January, after the central bank said the nation’s international reserves may increase.
Foreign-currency holdings may exceed $70 billion this year, Bangko Sentral ng Pilipinas Governor Amando Tetangco said yesterday. The reserves were at a record $69 billion at the end of June, according to official data today.
“Risk appetite has subsided but people are becoming picky on which currency to buy,” said Rafael Algarra, a treasurer at Security Bank Corp. in Manila. “Philippine growth prospects are good and higher reserves are boosting our macro fundamentals.”
The peso rose 0.1 percent to 42.880 per dollar at the 4 p.m. close in Manila, according to Tullett Prebon Plc. It touched 42.790 earlier, the strongest level since May 3.
Benchmark five-year bonds dropped. The yield on the 7 percent notes due January 2016 rose one basis point, or 0.01 percentage point, to 4.72 percent, according to Tradition Financial Services.
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