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Broad Dollar Indices Reverse Prompting Local FX Gains

LATAM FX
  • LATAM FX: Broad dollar indices have reversed their marginal gains to trade roughly flat on the session.
  • MXN - The turnaround has seen a swift move lower in USDMXN after retesting previous support turned resistance around 19.90 and is now approaching session lows sub 19.80.
  • BRL - Despite swap rates giving up yesterday's gains, the Real is continuing its recent form, firming 0.42% to trade at 5.5250.
  • CLP - Leading the charge remains the Chilean Peso, after opening sub 700 in USDCLP, gains for the local currency have extended to just under 1% for Tuesday. Copper has extended yesterday's rally after posting their best weekly performance in two months last week. The focus in Copper futures (HGA) remains the Feb 25th highs at 437 (9,617 in LME) with prices currently trading 428.30.

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