Dollar closes slightly lower at S/3.98 after BCR intervention

The price of the dollar in Peru closed with a slight decline on Thursday, after the inflation data in the United States that was well above expectations and opened the doors to further tightening of monetary policy by the Federal Reserve (Fed ).

The exchange rate ended at S/3,980 per dollar, a slight drop of 0.025% compared to Wednesday’s close of S/3,981, according to the Central Reserve Bank of Peru (BCR).

So far this year, the greenback accumulates a decline of 0.28% compared to the last price of 2021 at S / 3,991.

Today US$365 million were traded in the market at an average price of S/3.9861, said Asvim Asencios, Foreign Exchange trader for Renta4 SAB.

“During the day, the demand came from corporations, while the BCR intervened by placing sales exchange swaps for S/85 million for three months at an average rate of 3.74%. Today we had maturities for S/150 million in foreign exchange swaps for sale“, he pointed.

He added that at the beginning of the day the dollar it reached its maximum level of S/4.00 and reached its minimum level of S/3,977.

In the parallel market or the main exchange houses the dollar it is bought at S/ 3.96 and it is sold at S/ 3.99, according to data from the portal cualestaeldolar.pe.

Globally, the dollar It fell a couple of points after hitting a 32-year high against the yen, after US inflation data came out that beat investor expectations.

US consumer prices rose more than expected in September and underlying pressures continued to build, reinforcing expectations that the Federal Reserve will carry out a fourth interest rate hike of 75 basis points in the month coming.

The consumer price index rose 0.4% last month, after 0.1% in August, the Labor Department reported Thursday. Economists polled by Reuters had forecast the CPI to rise 0.2%.

In the 12 months to September, inflation rose 8.2%, after rising 8.3% in August. The annual CPI peaked at 9.1% in June, the biggest advance since November 1981.