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Finance Ministry To Increase USD Sales To $2 Billion In February

CHILE
  • CHILE FINMIN TO AUCTION AS MUCH AS $2B IN USD IN FEBRUARY (BBG)
  • That headline appears to be quite a bit higher than the US$500 million that was announced to be auctioned in January as part of the finance ministry's USD sale operations.
  • USDCLP now reacting and sliding back below the 800 handle and down around 1% on the day.
  • As noted the USDCLP outlook remains bearish and the pair is trading closer to its recent lows. Fresh cycle lows last week confirm a resumption of the downtrend and maintain the bearish price sequence of lower lows and lower highs. The continuation lower has exposed the 800.00 handle that has been pierced. A clear break of this level would open 788.95, the Apr 6 low. On the upside, initial resistance is seen at 823.83, the 20-day EMA.

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