Free Trial

COLOMBIA: IBR Swap Rates Fall Further As Inflation Concerns Ease

COLOMBIA
  • The Colombian peso has remained under pressure today, despite the partial rebound in oil prices, as the weaker-than-expected August CPI data and ending of the truckers strike raise the possibility of a faster pace of rate cuts ahead. The next BanRep MPC meeting is scheduled for Sept 30, when it will consider stepping up the easing pace to 75bp.
  • USDCOP has risen by ~1.3% today, moving above 4,230 in recent trade, its highest level since October last year. Despite the bounce today, the WTI oil price has fallen by around 10% since end-August, weighing on COP over this period.
  • Meanwhile, IBR swap rates have fallen by over 10bp across much of the curve as inflation concerns ease. This Friday’s BanRep economist survey will provide further clues on market rate cut expectations ahead of the BanRep MPC meeting.

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.