The AUD to PHP exchange rate is currently range-bound.
Key drivers include:
- The Reserve Bank of Australia is expected to raise interest rates soon, potentially enhancing the AUD's attractiveness to investors.
- The Philippine peso has weakened due to recent rate cuts by the Bangko Sentral ng Pilipinas, increasing the interest rate differential against the AUD.
- Economic growth concerns in the Philippines, stemming from political issues, could further pressure the PHP.
In the near term, the AUD to PHP exchange rate is likely to fluctuate within a stable range, supported by recent market levels.
An upside risk could arise from stronger-than-expected economic data from Australia, potentially boosting the AUD further. Conversely, a renewed focus on geopolitical risks or adverse economic developments in Australia could weaken the AUD and shift this balance.