Peso hits 9-month high on pre-accord to end euro crisis


Posted at Jul 21 2011 04:35 PM | Updated as of Jul 22 2011 12:36 AM

MANILA, Philippines - The peso rose to its strongest level in nearly nine months on Thursday on high hopes Greece would get another bailout package from the European Union.

The peso strengthened to as firm as 42.57 per US dollar, the highest since November 5, 2010, on continuous demand from leveraged funds and interbank speculators.

The Bangko Sentral ng Pilipinas was spotted buying dollars at the level, limiting the peso's further gains, dealers said.

Germany and France have reached a common position on a second bailout of Greece in their effort to prevent the country's fiscal crisis from spreading through Europe, increasing optimism for a deal at a European leaders' summit later on Thursday.

Last year, EU and the International Monetary Fund provided a 110-billion-euro bailbout to Greece that has proved insufficient. - With Reuters