The dollar closes at S/3.37 amid higher local demand and tension in global markets

The dollar closes at S/3.37 amid higher local demand and tension in global markets

The dollar price in Peru closed today’s session at S/3.371, above the previous close of S/3.358, in a day when the sol recorded the worst performance among the main currencies in the region. The upward pressure responded to a clear net demand for dollars from local agents, with a high of S/3.375 and a traded flow of US$465.5 million.

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On the international front, markets started the week with a negative bias due to the rebound in oil caused by the conflict in the Middle East, which rekindles fears of higher inflationary pressures and a more restrictive monetary policy.

The main US indices were down about 0.4%, while Treasury yields rose following the hawkish tone of Kevin Warsh in Jackson Hole. In this context, the market assigns a 65.9% probability to a 25 basis point Fed rate hike in September, favoring greater demand for dollars.

In commodities, oil drew attention with gains of 2.1% in both WTI and Brent, while among industrial metals copper was the only one to register positive performance, with an advance of 0.92%. Conversely, safe-haven assets showed moderate declines, with gold falling 0.47% and silver 0.19%, in a day marked by investor caution.

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In the local market, institutional demand led the Central Reserve Bank (BCR) to intervene through a Currency Swap Sale auction for S/200 million, seeking to contain upward pressure on the exchange rate.

In the coming days, the market will also closely follow the impact of the new Free Trade Agreement between Peru and Hong Kong, which will come into effect on September 1 and will allow permanent zero tariffs for the Peruvian export supply, providing support to the agricultural and services sectors.

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