Peso rises as central bank adjusts strategy

"The central bank is doing a good job in a bad environment," declares a very senior officer from a foreign bank in Manila even as the Philippine peso closed stronger at Ps45.495 to the dollar on Friday when the Bangko Sentral ng Pilipinas (BSP) intervened - again scaring forex traders away.
 
At the same time, after deciding last Wednesday to leave interest rates untouched, the BSP capitulated to market realities and changed its course by announcing a round of 100-basis point increases in overnight rates.