USD/COP traded between 3,900 and 4,000 during January. Economists at Scotiabank analyze the pair’s outlook.
COP to depreciate a bit to USD/COP 4,100 range
A more hawkish BanRep is helping the COP at the moment but external central bank hawkishness may help push USD/COP up towards our trading band.
We think the COP will be largely driven by the external environment in the near term, given a quiet political backdrop at home and market comfort with Colombian uncertainty. But in the coming months, we expect BanRep to speed up its easing cycle and markets to pay more attention to the fiscal accounts.
Therefore, we expect the COP to depreciate a bit to USD/COP 4,100 range.
Disclaimer: The content above represents only the views of the author or guest. It does not represent any views or positions of FOLLOWME and does not mean that FOLLOWME agrees with its statement or description, nor does it constitute any investment advice. For all actions taken by visitors based on information provided by the FOLLOWME community, the community does not assume any form of liability unless otherwise expressly promised in writing.
Hot
No comment on record. Start new comment.