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CLP Extending Gains On China/Commodities

CHILE
  • The Chilean peso is extending the week’s gains amid broader optimism in China and a broad rally across the commodity complex. After narrowing the gap once more with the 900 mark, focus is back on key support and the bear trigger which lies at 880.85, the Nov 11 low.
  • Thursday will see economic activity data for October cross the wires, however next Wednesday’s CPI data for November will remain in focus as a further softening in the data will likely ramp up expectations of the BCCh needing to cut rates early next year.

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