Dollar: Price of the dollar does not let up, will it continue the same upward trend? | Finance | Economy

The vast majority of currencies worldwide are losing value once morest the dollar, that is, the US currency is becoming stronger given the monetary policies of the Federal Reserve (Fed), which has been managing an increase in rates to curb inflation. from the United States.

In the case of Colombia, in the last three years, the Colombian pesowhich has been the most affected, it has devalued once morest the dollar by 33.86%.

(The world currencies that have been most affected by the rise of the dollar).

“So far in 2022, the currency, compared to the dollar, has lost 13.51%, and in the year to date, from October 2021 to October 2022, the price of the Colombian peso has dropped by approximately 22.63 %”, details Jeisson Balaguera, Executive Director for Values ​​AAA.

According to the expert, this means that the dollar in Colombia will have a tendency to appreciate. “The price of the currency will continue to increase until it reaches $5,000 or even $5,200. This is in the scenario in which Colombian pesos continue to be converted into dollars,” says Balaguera.

Recently, President Gustavo Petro referred to the idea of ​​restricting capital leaving the country through taxes. Which, for the analyst, has generated significant volatility in currencies, since investors might be opting to convert pesos to dollars before any restriction is created for it in Colombia.

“In addition to this, the current situation in the world is going to boost the dollar’s rise,” he adds.

(Dollar is still above $4,600, what factors have influenced the price?).

So how might Colombia mitigate this situation? according to the expert, attracting foreign investment, more dollars to the country. In other words, create conditions so that capital not only increases in the country, but also is maintained and reinvested locally.

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