Room for early BSP cut 'limited'

THE Bangko Sentral ng Pilipinas (BSP) will likely have little choice but to only start cutting interest rates after the US Federal Reserve (Fed), analysts said, given the likelihood of a further weakening of the peso.

"With no dovish signals by the Fed, we think the space for the BSP to cut as early as August without leading to much volatility in the peso is limited," HSBC Global Research economist Aris Dacanay said on Thursday.