The peso hit its lowest level of 50 against the US dollar before settling just below that level at the end of trading on Tuesday.

The peso closed at P49.999 against the greenback, hitting an eight-year low, from Monday’s P49.96. Volume at the Philippine Dealing System rose to $363.80 million from $310.60 million on Monday.

The Philippine currency’s weakness against the US dollar, economic officials said, reflected the strength of the greenback, which was boosted by a .25 percentage point increase in interest rates by the US Federal Reserve.

Stocks lost ground, with the main index shedding off 55.47 points to end at 6,658.66. Declines outnumbered advances, 132-51 with 42 issues unchanged.

Foreign selling reached P4.31 billion while buying from foreigners amounted to P2.944 billion. DMS