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Supportive Price Action For Local Assets, Relief For Camara Curve

CHILE
  • Opposition senators Carolina Goic (DC) and Carlos Montes (PS) have confirmed to local media that they will not approve a fourth round of pension fund withdrawals. (Bloomberg)
  • Goic said on Monday on Tele13 Radio that he will vote against the project because it weakens future pensions.
  • The senator joins Montes who last week told CNN Chile that he will not vote in favour of the initiative.
  • For reference, the Senate Constitution Committee will vote on the project this Wednesday, and then move on to the debate in the Chamber, where it needs at least 26 favourable votes for its approval.
  • While in line with expectations, the news coincides with the continued rise in backing for conservative candidate Kast in the polls, adding tailwinds to CLP and the Camara Curve:
  • USDCLP down 0.87% at 808.97
  • Chile Camara Swaps:
    • 2-yr -15 bps at 5.13%
    • 5-yr -17 bps at 5.49%
    • 10-yr -19 bps at 5.75%

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