The US currency threatened to reach $39, but on Friday it traded far from that barrier, according to the Central Bank of Uruguay.
The dollar started the last week on the rise and was shaping up to drill the ceiling of 39 pesos, until it experienced a sharp fall that left it at the lowest value of the last 15 days, trading at 38,705 pesos according to data from the Central Bank of Uruguay (BCU).
In the heat of the declarations of the President Luis Lacalle Pou, who last Sunday said that the government was going to try to appreciate the dollar between 39 and 40 pesos, the US currency rebounded between Monday and Tuesday, the day it closed at 38,992 pesos, being pennies from the first barrier.
However, on Wednesday he broke the upward trend and signed three consecutive rounds of decline, the last one with a decrease of 0.50% which deposited it at 38,705 pesos, showing a depreciation of the bill of 0.19% since the beginning of the month.
The possible reasons for the latest decline in the dollar
When inquiring into why this occurred, some market analysts considered that it could be attributed to the decline of the dollar in Brazil, which was 0.90% on Friday, but also to the announcement of the historic reversal of 4 billion dollars by HIF Global to build a green hydrogen plant in Paysandu.
It is that something similar happened in July 2019, when UPM confirmed that he was going to invest $2.7 billion to build its second pulp mill in the country, for which it ended up disbursing 3,470 million. On that occasion, the US currency fell back from the 34,388 pesos to 33,830 pesos in two days, between July 22 and 24 of that year.
Analysts believe that the currency will close the year trading at 41 pesos
The current panorama is far from what the analysts consulted by the BCU, that although they reduced the projection of the price of the dollar for the end of the year, they believe that the US currency will reach the 41 pesos in December of this year.
Thus it arises from the median of the responses to the Expectations Survey disseminated by the monetary authority, which, if confirmed, would demonstrate an annual advance of 4.9% for the dollar, that is below inflation whose estimated percentage is 7.5%.
Source: Ambito
