Colombian Peso Reaches 3,300-Peso Mark Against Dollar

The Colombian peso has shown signs of recovery against the US dollar, albeit incipient. On September 24, the currency recorded an interbank closing price of 3,328.45 pesos, marking a gain of 64.06 pesos compared to the Representative Market Rate (TRM) of 3,264.39 pesos.

This means that during the day's transactions, the dollar touched the 3,300-peso mark and reached levels not seen since last July.

Mauricio Acevedo, foreign exchange and derivatives strategist at Corficolombiana, attributed the market dynamics to investors adjusting their expectations in response to a more aggressive stance by the Federal Reserve. He noted that the market recorded one of the highest fluctuations of the year, with volatility of 102 pesos, a traded volume of $1.585 billion, and a TRM set at 3,264.39 pesos (an increase of 55.73 pesos compared to the previous day's TRM).

According to Acevedo, the market assigns about a 78% probability to a rate hike in October and more than 58% to another increase in December.