US dollar opens flat at 3.356 soles in Peru

The US dollar opened unchanged at 3.356 Peruvian soles on Tuesday compared with its previous close. Meanwhile, the US Dollar Index (DXY) posted a slight gain of 0.05% to trade around 100.4 points.

Market participants focused on scheduled speeches by Federal Reserve officials John Williams, Philip Jefferson, and Thomas Barkin for clues on interest rate policy. Jorge Luis Huayta, FX trader at Kambista, stated that remarks from Fed officials will be key to understanding monetary policy signals and could drive short-term dollar volatility and strength.

In commodities, Brent crude posted its sixth consecutive decline, trading near 98 dollars per barrel amid lower concerns over supply disruptions. Gold dropped 0.22% and silver fell 0.36%, while copper rose 0.94%.

In Peru, corporate tax payment week continued to support the domestic supply of dollars. Jorge Luis Huayta added that an eventual stall in disinflation could lead the Central Reserve Bank of Peru to keep interest rates high for longer, supporting the yield differential in soles and capping upward pressure on USD/PEN. The central bank reported no significant foreign exchange swap maturities for the day.