Chile’s Peso Holds Steady as Stocks Climb on Commodity and Retail Strength

The Chilean peso trades around 956 per US dollar after holding between 954 and 958 this morning. Investors digested stronger Chinese manufacturing data and better-than-expected August retail sales at 0.7 percent month-on-month.

The US Consumer Price Index rose 2.9 percent year-on-year in August, and nonfarm payrolls gained just 22 000 jobs, keeping the US Dollar Index near 97.33.

The S&P IPSA rose 1.22 percent to 9 116.93 points on Monday. Mining and retail names led inflows of roughly CLP 15 billion into equity funds. Copper jumped 1.8 percent overnight, lifting Codelco and Soquimich shares.

Top gainers on Monday included Vapores (+3.72 percent), Grupo Security (+2.93 percent), Falabella (+0.74 percent), Colbún (+0.71 percent) and Mallplaza (+0.70 percent).

The biggest decliners were Soquimich B (–2.79 percent), Embotelladora Andina B (–2.57 percent), Enel Americas (–2.05 percent), Enel Chile (–1.71 percent) and Cencosud Shopping (–1.56 percent).

Technical signals reveal USD/CLP has slipped below its 200-period moving average on the four-hour chart and sits at the lower edge of its rising daily channel.

Support lies at 950 and resistance at 962. The IPSA trades above its 50-period four-hour average, with daily support at 9 050 and resistance at 9 200.

Market participants now eye Chile’s central bank decision on Wednesday, where economists expect rates to stay at 4.75 percent. Rumors of eased margin requirements may further buoy stocks. Traders also monitor US Treasury yields and domestic reform news.

The real story shows cautious optimism. Chile’s data resilience and higher copper prices boost confidence, while US rate-cut expectations undercut the dollar. Yet narrow trading ranges reflect uncertainty ahead of key policy moves.