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Hacienda To Increase Dollar Sales, CLP Market Trading Hours Extended

CHILE
  • Decent move in the Chilean peso late yesterday attributed to the announcement from Hacienda regarding Dollar sales for today and July.
    • The Finance Ministry are to sell $500 million today, up from the previously reported $300m. Additionally, for the month of July, it is estimated to auction a total amount of up to US $ 4.7 billion, with a daily maximum of $500 million.
  • USDCLP had a sharp ~1% drop from around 735 to 727 during open trading hours that are now running later than usual.
  • **Bloomberg note, CLP market will now remain open until 4pm ET. vs 1.30pm before; measure reduces the gap between the local market and the afternoon trade in New York, with some analysts expecting the market may suffer from reduced liquidity in the first weeks after the change.
  • Local agenda is packed for the rest of the week, with Unemployment Rate, Retail Sales and Production data all due at 1400BST/0900ET today. Economic Activity figures will be published Thursday.

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