Dlar ends with a further increase of $ 2.30 affected by each copper

Dlar ends with a new increase of $ 2.30 allocated by each of the brbad

Wednesday, July 4, 2018

Business and economy online

Future Value

The Chilean dollar closes on Wednesday to rise, in response to the news each shown by the price of copper, which has been affected by the fears of the trade war that are the stars of the United States and China.

More specifically, the North American currency closed with an increase of $ 2.30 On the Chilean interbank market $ 652.10 and $ 652.40 on the Chilean interbank market

During the meeting, 665 US $ million was realized, US $ 425 million lower than Tuesday, due to the decline of the Independence movement in the United States

Fears of a trade war between the world's major economies have hit hard commodity prices, which saw their prices drop in the last days before the possible measures of the two countries affect the recovery of echo Indeed, copper closed this Wednesday with a new 1, 91% up to US $ 2.97575 per pound on the London Metal Exchange (LME), its lowest level since October 4, 2017 (US $ 2.92703).

"Commodity prices, on the other hand, show significant downward price adjustments, especially metals, such as iron and copper, which have a major impact on the price of raw materials. exchange rate which is around $ 650 / US $, "says Bci Estudios.

That said, the intermediary pointed out that if agreements are reached to avoid a trade war, the exchange rate should fall back in the medium term, but in the short term, the trend will continue to be bullish because of the uncertainty surrounding the issue.

"The basic scenario incorporates an agreement of moderate characteristics with respect to US trade policy with Europe and China, so as not to disrupt world trade.This will lead to a gradual decline in the rate of The risks to this scenario, however, have increased, causing depreciating pressures for emerging market currencies, "Acot.

Same view of XTB Latam, where they bet that the North American currency is close to the peaks recorded in 2017 because of this uncertainty, which should be confirmed by some data that will be published in the coming days, both in the United States. United only in Chile.

"We maintain a bullish outlook looking for the maximums recorded at the end of 2017 among $ 657- $ 658 / US The achievement of these levels will depend on data from IMACEC, IPC, FOMC and jobs reports. non-farm published Thursday or Friday, "remarks Carlos Quezada, market badyst at XTB Latam.

the market the US non-farm employment figures released by the ADP firm, in addition to claims for unemployment benefits from the previous week and the minutes of the last meeting of the Reserve Federal, in addition to the data of Imacec of Chile corresponding to May