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Pinera Agrees To Sign Original Third Pension Withdrawal Bill Into Law

CHILE
  • Chilean President Sebastian Pinera admitted defeat yesterday and will sign the congress-backed pension bill, while withdrawing the Government's alternative bill. The news comes following the constitutional court's decision to reject the President's bid to block the proposal, amid widespread protests across the nation.
    • Pinera added the government will attempt to create a new way to replenish the withdrawn funds.
  • Chile's benchmark stock index extended losses after the court announcement and was down 2.4% at the close of trading, the biggest drop since Jan. 29. The yield on the government's nominal BTP 2030 bonds rose 11 basis points to 3.78%. The news is likely to boost the Peso that has recently been buoyed by the rally in copper prices. Port workers announced their protests will end, following the decision.

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