# Colombian peso subdued after rate hike, Latam FX falls for second week | Financial Post

> Colombia's central bank raised its benchmark interest rate by 100 basis points to 12% to fight inflation, as expected. The peso reversed early losses and held flat against the dollar. Latin American currencies were on track for a second weekly decline as recession fears weighed on appetite for risky assets.

- Date: 2022-12-16 · published 2022-12-16T12:00:00.000Z
- Category: macro · region Colombia · magnitude low
- Page: https://feedsoft.ai/events/38504-colombian-peso-subdued-after-rate-hike-latam-fx-falls-for-second-week-financial
- Commodities: [Colombian Peso (COP per USD)](https://feedsoft.ai/c/USDCOP.md)

## Why it matters

Tighter policy across major central banks is strengthening the dollar and pressuring emerging-market currencies, which can raise the local-currency cost of imported feed ingredients for Latin American buyers. Mexico's Banxico is also expected to keep hiking, which may add to currency pressure.

## Read by commodity

- USDCOP: neutral

## Sources

- financialpost.com: https://financialpost.com/pmn/business-pmn/colombian-peso-subdued-after-rate-hike-latam-fx-falls-for-second-week

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