# Latam Daily: Chile’s Central Bank Surprise Hike of 125 bps; Peruvian Sol Rallies | Post

> Chile's central bank surprised markets by raising its monetary policy rate 125 bps to 2.75% and ending its reserve accumulation program. The bank acknowledged concern over the multilateral depreciation of the peso. Peru's sol reached its highest level since Castillo took office.

- Date: 2021-10-14 · published 2021-10-14T12:00:00.000Z
- Category: macro · region Chile · magnitude low
- Page: https://feedsoft.ai/events/44843-latam-daily-chile-s-central-bank-surprise-hike-of-125-bps-peruvian-sol-rallies
- Commodities: [Peruvian Sol (PEN per USD)](https://feedsoft.ai/c/USDPEN.md)

## Why it matters

Tighter Chilean policy and a firmer sol mainly affect regional capital flows and borrowing costs, with minimal direct impact on feed commodity supply, demand or prices.

## Sources

- scotiabank.com: https://www.scotiabank.com/ca/en/about/economics/economics-publications/post.daily-publications.latam-daily.latam-daily.2021-issues.-october-14-2021-.html

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