PSEi sheds 2.2 percent to 5,610.39 and peso closes at a record-low ₱62.90 as rate-hike fears grow
The PSEi closed at 5,610.39 on October 8, down 126.30 points (2.2%), with all sectors lower (Daily Tribune, Manila Times). The peso closed at ₱62.90, 15 centavos weaker and a record low, beating ₱62.86 on September 14 (Tribune, Inquirer, BusinessWorld, Philstar). Drivers cited: more expected BSP hikes after 7.2% inflation, Fed minutes showing most officials expect another hike, and oil supply worries. WTI crude rose 3.60% to $91.50.
A weak peso lifts the cost of imported fuel and goods, while falling stocks signal that investors expect higher borrowing costs.
Imported goods, fuel and dollar-linked bills may cost more; the effect reaches most households through prices.
A weaker peso helps families of overseas workers, whose dollar remittances buy more.
It adds to import costs when inflation is already 7.2 percent, and the central bank cannot easily defend the currency.
₱63 is the number to watch. A close above it, with the BSP meeting on October 22 and an expected hike, would show how much more pressure the peso can take.
DailyDrop Philippines edition No. 5 · Morning · FRI., OCT. 9, 2026