NEWSFLASH

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PESO RATE NOW P45.20=$1

Manila, Jan. 8, 1998 - The Philippine peso plunged more than 6 percent to another record low yesterday, hitting P45.209 per dollar in very thin trading as foreign currency supplies tightened.

Most participants were holding on to dollars in anticipation of a further weakening of the peso, traders said. The shortage of dollars in turn forced the peso even lower.

"The currency market is being entirely driven by sentiment -- and the fear is that the peso will fall further," said Cora Guidote, head of Philippine Equities at UBS Ltd.

Dealers said declines in other Asian currencies also added to the pressure on the Philippine currency.

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