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May Unemployment Rate, USDCLP Remains Well Supported On Dips

CHILE
  • The Chilean Peso sat atop the regional leaderboard on Tuesday as markets reopened following a local holiday on Monday. USDCLP came under significant pressure after the news that Hacienda estimate that a total of up to US$ 5 billion of excess liquidity in foreign currency will be auctioned, with a daily maximum of US$ 200 million.
    • While the initial price action saw USDCLP dip back below 900, and down roughly 2% since Friday’s close, the pair has recovered a good chunk of the move lower following various analyst notes expecting the euphoria to be short-lived, forecasting higher levels for USDCLP heading into year-end 2022.
  • Due today: May Unemployment Rate, est. 8.1%, prior 7.7%.

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