Colombia’s peso rose to a one-week high as optimism the U.S. economy will continue to expand led to boosted appetite for higher yielding, emerging market assets.
The peso climbed 0.5 percent to 1,778.03 per dollar at 3:13 p.m.
New York time, from 1,786.30 yesterday.
Earlier it touched 1,776.82, its strongest level since Aug. 23.
The peso was little changed this month, and is up 6.8 percent in the past six months, the best performance among 25 emerging-market currencies.
A report today showed business activity in the U.S. expanded in August at a faster pace than forecast, a signal companies are looking beyond the slowdown in growth.
The U.S. is Colombia’s biggest trading partner, buying about 40 percent of the nation’s sales abroad.
“Investors are taking advantage of positive data out of the U.S. today to buy riskier assets,” said Juan Camilo Santana, an analyst at Bogota-based brokerage Cia. de Profesionales de Bolsa SA.
“That’s why we’re seeing gains in Latin American currencies including the peso.”
The yield on Colombia’s 10 percent bonds due in July 2024 rose three basis points, or 0.03 percentage point, to 7.39 percent.
The bond’s yield fell 25 basis points this month.
The peso climbed 0.5 percent to 1,778.03 per dollar at 3:13 p.m.
New York time, from 1,786.30 yesterday.
Earlier it touched 1,776.82, its strongest level since Aug. 23.
The peso was little changed this month, and is up 6.8 percent in the past six months, the best performance among 25 emerging-market currencies.
A report today showed business activity in the U.S. expanded in August at a faster pace than forecast, a signal companies are looking beyond the slowdown in growth.
The U.S. is Colombia’s biggest trading partner, buying about 40 percent of the nation’s sales abroad.
“Investors are taking advantage of positive data out of the U.S. today to buy riskier assets,” said Juan Camilo Santana, an analyst at Bogota-based brokerage Cia. de Profesionales de Bolsa SA.
“That’s why we’re seeing gains in Latin American currencies including the peso.”
The yield on Colombia’s 10 percent bonds due in July 2024 rose three basis points, or 0.03 percentage point, to 7.39 percent.
The bond’s yield fell 25 basis points this month.
The price fell 0.238 centavo today to 121.247 centavos per peso.
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