Chile’s Peso Firms As Metals Offset Trade Noise And Rate Jitters

Key Points

• USD/CLP sat in the mid-880s as the dollar softened and copper stayed supportive.
• The IPSA held near record levels, even though most stocks fell.
• Selective buying favored market-driven stories, while weak consumer and telecom names lagged.

Chile’s morning opened with the peso steady and the dollar on the defensive. Trading feeds showed USD/CLP around 884–885, while the central bank’s latest observed reference was in the high-880s.

The 900 level remains the market’s psychological line, and it still has not broken. Overnight, the global backdrop turned against the greenback. A renewed “sell America” mood spread after fresh tariff threats aimed at Europe, linked to the Greenland dispute.

The dollar index hovered near 98.6. Gold pushed to a new record above $4,800, while oil eased as supply fears cooled. Higher global rates added pressure, with the U.S. 10-year Treasury near 4.29% and Japan’s 40-year yield above 4%.

Chile’s fundamentals offered a counterweight. Copper stayed elevated, reinforcing the peso’s carry-and-commodities appeal. The central bank’s December cut to a 4.5% policy rate would normally weaken the currency.

Instead, the market has treated Chile as a “copper plus credibility” story during a softer-dollar phase. Technical signals support a cautious view.

On the daily chart, USD/CLP still looks heavy, with RSI near the mid-30s. The four-hour view is stabilizing, with RSI closer to 40.

Support sits around 885, then 880, with deeper levels near 876–877. Resistance starts at 889–890, then 897–902, with a wider ceiling around 916–918.

Equities told a more complicated story. The IPSA finished Tuesday at 11,159.35 after being “saved” by the closing auction. It had briefly been down about 0.5% before flipping to a small gain.

Breadth was weak, with 26 of 30 names in the red, but heavyweight winners carried the index. Local turnover reached about CLP 315.8 billion, and roughly 30% ran through Falabella in a large block trade intermediated by BTG.

Flows remain constructive. Foreign demand for local peso bonds has risen, with holdings near a record $14 billion by November. Chile exposure also stayed firm via ECH, which traded near $44, with strong recent inflows and a solid year-to-date return.

Top Winners (Stocks)

• SQM-B (+2.9%)
• LATAM (about +1.9% into the close)
• CCU (+1.3%)
• Mallplaza (+1.5%)
• Parque Arauco (slightly positive)

Top Losers (Stocks)

• Cencosud (about -3%)
• Entel (about -2%)
• Falabella (down, roughly -1% on the close)
• Banco Santander Chile (about -1.1%)
• CAP (about -1.3%)

This is part of The Rio Times’ daily coverage of Chilean markets and Latin American financial news.

For context on regional markets, see Brazil’s Ibovespa for the same session.

Also tracking regional peers: Colombia’s COLCAP closed the same session.

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