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Local Swap Rates Shift Higher, BRL and CLP 0.5% Lower On Session

LATAM
  • Both USDBRL and USDCLP have taken out their best levels of the week as local swap rates continue to come under pressure. USDBRL looks primed to test the closing gap following the 75bps rate hike on March 17 at 5.5872.
  • Brazil DI Swaps:
    • 1-yr +1.5 bps at 4.69%
    • 2-yr +7.5 bps at 6.49%
    • 5-yr +11 bps at 8.30%
    • 10-yr +13 bps at 9.00%
  • Chile Camara Swaps:
    • 1-yr +3 bps at 0.76%
    • 2-yr +7.5 bps at 1.32%
    • 5-yr +6 bps at 2.37%
    • 10-yr +4 bps at 3.31%
  • TIIE curve been under similar pressure since the inflation data overshot estimates and the tolerance band this morning. USDMXN made a marginal new high for the week at 20.8953 but feel short of testing resistance at 20. 9322, Mar 12 high.

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