Hi Tom, it sounds like you have Peach Tree Borers which are a really bad pest to have. Sorry to be the bearer of that bad news.
I don't know of a natural control for this pest, but as your guild matures I should think many of the herbs will have repellent properties. A quick Google search shows that garlic planted around the peach tree will repel borers. That makes good sense to me and I always grow garlic around all my fruits.