# Colombia Rates & FX: Pending BanRep easing and rising policy risk -BBVA Market Strategy

> BBVA Market Strategy says Colombian assets have come under pressure as a slowing economy makes a December central bank rate cut likely, possibly larger than 25bp. Fiscal concerns grow after lost royalty revenues and President Petro's suggestion of removing the fiscal rule.

- Date: 2023-11-17 · published 2023-11-17T12:00:00.000Z
- Category: macro · region Colombia · magnitude low
- Page: https://feedsoft.ai/events/33437-colombia-rates-and-fx-pending-banrep-easing-and-rising-policy-risk-bbva-market
- Commodities: [Colombian Peso (COP per USD)](https://feedsoft.ai/c/USDCOP.md)

## Why it matters

Expected rate cuts and political fiscal risk weaken the Colombian peso, with USDCOP forecast to rise toward 4400-4500. For feed buyers, a weaker COP has little direct grain price effect, though it signals currency-driven cost shifts for Colombian feed importers.

## Read by commodity

- USDCOP: bullish ▲

## Sources

- bbvamarketstrategy.com: https://www.bbvamarketstrategy.com/public/macro/colombia-rates-fx-pending-banrep-easing-and-rising-policy-risk/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.