“’Soon’ means a possible rate hike in June or July 2017,” Guian Angelo Dumalagan, market economist at the Land Bank of the Philippines told The Manila Times. “A US rate hike next month could result in an increase in domestic (Philippine) interest rates, a depreciation of the peso, and a possible decline in the PSE index,” he said in an email. IHS Markit expects the US Fed to hike its policy rate again at its June FOMC meeting, with at least one further rate hike expected during the second half of 2017. Traditionally, Manila does not necessarily follow every rate hike in the US, Harry Liu, president of Summit Securities, Inc., said. But given that you’ve heard it [the impending US rate hike it], I think the market also knows it.

Source: Manila Times May 25, 2017 16:41 UTC