The Philippine central bank is monitoring the peso closely for potential inflation spillover effects after it fell to more than four-month lows, breaching the 56 level against the USD due to foreign funds exiting Philippine equities. The bank may pause from raising interest rates next month if inflation continues on a downward trend. The country’s inflation slowed to a six-month low of 7.6% YoY in March. Earlier this month, the central bank’s governor, Felipe Medalla, said that the strong peso was helping ease inflation.