NEWSFLASH

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PESO DROPS TO P36.58

Manila, Dec. 12, 1997 - The peso plunged to a record low of P36.585 to the dollar yesterday, P1.34 lower than the previous day's close. By day's end, the weighted average at the Philippine Dealing System was P35.687 or a 55-centavo loss from the previous day's average of P35.132.

Dealers said the Bangko Sentral ng Pilipinas (central bank) did not intervene despite the peso's fall.

Weakening the peso even more was the central bank's lowering of its overnight borrowing rate to 11% from 12%.

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