The price of the dollar in Peru closed higher on Friday, following the Central Reserve Bank of Peru (BCR) raised its reference interest rate to 5%, a maximum of 13 years.
The exchange rate ended at S/ 3,788 per dollar, an advance of 0.74% compared to Thursday’s close at S/ 3,760, according to data from the Central Reserve Bank of Peru (BCR).
So far this year, the greenback accumulates a decline of 5.08% compared to the last price of 2021 at S / 3,991.
During the day, the issuing entity placed currency repos for a term of one week for S/ 300 million at an average rate of 5.70%. In addition, it placed nine-month interest rate swaps for S/ 50 million at a rate of 5.91%; and currency swaps for sale for S/ 200 million at one year, at a rate of 2.26%.
Later, it auctioned weekly deposits for S/ 500 million at an average rate of 4.66% and placed one-year currency swaps for S/ 200 million at an average fixed rate of 2.19%.
On the other hand, in the parallel market or the main exchange houses, the dollar is bought at S / 3,770 and sold at S / 3,800, according to the portal cuantoestaeldolar.pe.
At the regional level, most Latin American currencies and stock markets took a breather on Friday and rebounded at the end of a week in which the tone was the fall of the markets as a result of the aversion to risk assets due to doubts regarding the future of the global economy.
According to the Archyde.com agency, operators pointed out that concern regarding the tightening of central banks’ monetary policies might generate a slowdown in the growth of the economy, which has distanced investors from risky assets and has led them to make sales and seek refuge in the dollar.
Markets are likely to see a short-term rebound before resuming the sell-off, which has seen Wall Street’s Nasdaq tech index lose more than 25% since the start of the year, BofA analysts wrote in a weekly strategy note. .
“Fear and loathing suggest stocks are prone to an imminent bear market rally, but we don’t think definitive lows have been reached”argued the team led by chief investment strategist Michael Hartnett.
The dollar index, which measures the greenback once morest a basket of six major currencies, was stable and hovering near two-decade highs.