Peso rebounds amid slightly slower November inflation

The Philippine peso rebounded against the dollar on Tuesday buoyed by a slightly slower month-on-month inflation print in November.

The local currency strengthened by 3.5 centavos to close at P50.630:$1 from 50.665 Monday.

"The market may have taken into consideration the subdued inflation level released today at 3.3 percent," Union Bank of the Philippines chief economist Ruben Carlo Asuncion said.

Inflation clocked in at 3.3 percent last month, slower than the 3.5 percent in October, the Philippine Statistics Authority (PSA) said.

Year-on-year, inflation accelerated from 2.5 percent in November 2016.

The market sees the US tax cut leading to more pronounced downtrend for the greenback, Asuncion noted. He did not elaborate.

The US Senate on Saturday approved a tax overhaul, which buoyed the US dollar and US stock futures. — VDS, GMA News