THE PESO declined to a near two-week low against the dollar on Thursday as the foreign exchange market awaited further guidance from US President Donald J. Trump regarding his planned tariff policies.

The local unit closed at P58.692 per dollar on Thursday, weakening by 18.2 centavos from its P58.51 finish on Wednesday, Bankers Association of the Philippines data showed.

This was the peso’s lowest close in nearly two weeks or since it finished at P58.70 on Jan. 13.

The peso opened Thursday’s session slightly weaker than Wednesday’s close at P58.54 against the dollar, which was already its intraday best. Its worst showing for the day was at P58.70 versus the greenback.

Dollars exchanged decreased to $1.27 billion on Thursday from $1.59 billion on Wednesday.

“The peso closed lower on strong dollar demand as traders await announcements of Trump’s policies,” a trader said in a phone interview.

The dollar was generally stronger on Thursday after Mr. Trump threatened to impose tariffs on Russia if it does not stop its invasion of Ukraine, Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said in a Viber message.

For Friday, the trader said the peso could move between P58.50 and P58.80 a dollar, while Mr. Ricafort sees it ranging from P58.55 to P58.75.

The dollar traded in narrow ranges against major peers on Thursday, as the currency continued to struggle for direction in the absence of concrete announcements on tariffs from Mr. Trump, Reuters reported.

A spate of central bank policy decisions could move currencies over the next week, with the Bank of Japan widely expected to raise interest rates at the end of a two-day meeting on Friday.

Rate decisions from the US Federal Reserve and European Central Bank are scheduled for Wednesday and Thursday of next week, respectively.

The dollar index — which measures the currency versus six top rivals, including the euro and yen — was last up 0.09% at 108.37 in early European trading.

It tumbled 1.2% on Monday in its steepest one-day slide since November 2023, as Mr. Trump’s first day in office brought a barrage of executive orders but none on tariffs.

The dollar had climbed to a more than two-year high of 110.17 on Jan. 13 on the back of a strong US economy and expectations of widespread US tariffs, which could dent other countries’ currencies.

So far this week, Mr. Trump has mooted levies of around 25% on Canada and Mexico and 10% on China from Feb. 1. He also promised duties on European imports, without giving details.

Mr. Trump on Monday signed a trade memo ordering federal agencies to review a range of trade issues by April 1, which many market participants believe will be a key date in revealing tariff plans.

The dollar was up 0.15% against China’s yuan in offshore trading at 7.294 yuan. It has fallen around 0.5% against the yuan, also called the renminbi, since Mr. Trump’s inauguration.

Japan’s yen was flat at 156.49 per dollar with markets pricing 96% odds of a quarter-point hike on Friday. — A.M.C. Sy with Reuters