Wednesday , January 20 2021

The dollar stops its bullish stripe, and the Chilean peso is the fifth growing currency most appreciated

The dollar paused for its eight consecutive days upwards on Tuesday pending the Federal Reserve conference, where investors will seek signals that monetary policy will be adopted by the company this year.

The dollar index – which measures currency performance against six currencies in the world – operates with a 0.25% retracement.

The weak dollar equates to expectations of the speakers of the members of the Federal Open Market Committee (FOMC) and the words of Fed President Jerome Powell.

"The tone of the last speech has been a much more conservative Fed that could weaken USD during the session," said market analyst XTB Latam Carlos Quezada.

At the local level, at the end of the interbank market, the dollar was quoted at $ 660.8, down $ 2.5. In this way, the Chilean Peso is the fifth growing currency most appreciated.

The development in the local exchange rate, despite the decline in copper prices, appears to be a major reference for the national currency. Red metal contracts for March operate at 0.60% lower and are priced at US $ 2.77 per. Pound on the London Metal Exchange.

"We are on the second negotiating day between the authorities of China and the United States, where there is not much progress and the chances of an agreement do not increase. This would mean that the tariffs between both countries will return from March 1," Quezada explains.

Source link