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Camara Swaps Curve Further Inverts Following CPI Data

CHILE
  • The front end of the Chilean camara curve came under pressure on Wednesday following the above-estimate CPI data, clocking in at 12.3% Y/y with specific pressures on the core component. One-year swap rates rose around 30basis points, increasing the curve’s inversion.
  • The pressure on rates, combined with an intra-day reversal for copper on Wednesday weighed on the Chilean peso throughout the trading session. USDCLP is currently consolidating around the 800 mark.
  • Hacienda continue with its USD sale operations at a rate of $140 million per day, having so far auctioned around 800 million this month of the estimated $2 billion announced.
  • Both the central bank economist survey and the BCCh minutes are scheduled for release on Friday. There are no further economic data releases due this week.

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